VAT hit for Live 8
Geldof event may receive massive tax bill
Bob Geldof’s Live 8 event, taking place next month to bring attention to poverty in Africa, is to be hit by a huge VAT bill, because money from tickets will not be going directly to help those in need.
Proceeds from money raised are instead going to the organisation and administration of the event, which leaves it open to a tax levy.
Tickets for the concert, which occurs on 2 July in Hyde Park, are to be allocated by a text message competition, with those wanting to attend paying £1.50 a time to enter via text message, and entering as many times as they like.
Geldolf is expected to campaign to receive a rebate on the VAT after the concert. He successfully managed to get VAT waived for the Band Aid 20 charity record released over Christmas.