Treasury backs down from taxing foreign sport stars

HM Treasury has
backed down from taxing foreign sport stars’ global income on the threat of
losing out in the selection to host top sports events such as Uefa Champions
League Final in 2011.

Accountants and athletics bodies feared the government’s attempts to tax
foreign sports stars on their global income would prevent Britain being chosen
to host top events, The Daily Telegraph reports.

Jane Kennedy, treasury minister, told the Football Association that, if
Britain won the right to host Uefa, visiting players would not be taxed here.

‘We estimate that tax receipts from an event of this scale might have been
about £1m but, of course, there would be no revenue if it were based elsewhere,’
a treasury spokesman said.

Mike Warburton,
Grant
Thornton senior partner, said the decision followed a similar exception
granted to the Olympics. ‘But what we need is a clear statement of policy rather
than the rreasury being forced into one embarrassing climbdown after another,’
he said.

Further reading:

Treasury in row over £35k non-dom bill

Wealth managers win non-dom climbdown

Read
The Daily Telegraph story