I am gemused to read that the Chief Secretary to the Treasury, Danny "Beaker" Alexander, has decreed that athletes resident outside of the UK who compete at the Glasgow 2014 Commonwealth Games will be exempt from income tax.
Under UK tax rules, any sportsperson not resident in the UK is subject to UK income tax on any payment in connection with their performance here, including a proportion of any worldwide endorsement income.
Beaker said:
"With six months tomorrow to go until London 2012, I’m pleased to announce this special exemption for Glasgow 2014 which will prolong the Olympic legacy and help spread the long-term benefits into Scotland."
Are we to assume that no one would have competed in the games if the tax exemption had not been put in place?
Tax does have to be taxing.
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This is a bad precedent to set. Aren't all taxpayers (not customer's) meant to be treated equally?
ReplyDeleteIt is really as I always try and get my return done before the end of May. Maybe I should not bother
ReplyDeleteAbsolutely Disgraceful!
ReplyDeleteI'm confused. How can Alexander change Tax Law without Parliament's approval? I know that there are a number of very wealthy athletes and obviously the wealthy deserve to pay less tax than the rest of us, but I still don't understand what authority Alexander has to allow this? Perhaps he took advice from Dave Hartnett?
ReplyDeleteIt's now 2012.
ReplyDeleteSo him and his cronies will have enough time to sort out ITEPA, TMA and FA2013 or FA2014 ahead of the commonwealth games.
Perhaps they think it will be a vote winner ahead of the referendum on Scottish Independence scheduled for 2014?