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Old 06-24-2008
Peon
 
Join Date: Jun 2008
Posts: 2
Default If a company sponsors an ammature mens football team, is the money they donate tax

deductable? And if so, what exactly does that mean?
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  #2 (permalink)  
Old 06-24-2008
Peon
 
Join Date: May 2008
Posts: 21
Default

Usually but it depends. If the football team is a charity it will be. However part of the sponsorship may not be deductible if the company gets a client entertaining benefit from the sponsorship.

Assuming it is deductible this means they can deduct from their income/turnover to calculate their taxable profits - hence although they may sponsor £100, it would only really cost them £70 as they would save £30 in tax.
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