CASC and Incorporation Guidance

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A club can save thousands of pounds per year as a registered CASC. It is estimated the CASC scheme has been worth around £2.5million to England Hockey clubs which are CASCs (Source: cascinfo.co.uk - Monthly Analysis of CASC Registrations).

Clubs can consider registering as a CASC now. Similar benefits might also be available to you if you register as a charity although most clubs have chosen the CASC option – see here for a comparison.

Click here for information regarding the England Hockey CASC Support Helpline.

What is a CASC?
A CASC is a Community Amateur Sports Club registered with HM Revenue & Customs. The CASC scheme was created in order to distinguish between amateur sports clubs in the community and businesses for the purposes of business rates and taxes to help ensure that sports clubs are treated fairly and money stays within sport.

How will it benefit your hockey club to become a CASC?
The main benefits are:

  • 80% mandatory business rate relief
  • The use of Gift Aid and the Gift Aid Small Donations scheme (see below)
  • Exemption from Corporation Tax on trading profits if gross trading income is below £50,000 p.a. and on gross property income if below £30,000 p.a.
  • Companies can receive corporation tax relief on donations to CASCs
Please see here for further information on the benefits of CASC status.

What are the main criteria for becoming a CASC?

  • Your sport must be recognised by the relevant sports councils
  • Your club must have an open membership policy
  • Costs associated with membership must be affordable at less than or equal to £520 p.a. If not provision for those who can’t afford it must be made
  • Your club must promote and provide facilities for amateur sports participation
  • More than 50% of members must participate fully in the sport
  • Your club must not exceed the gross trading and property income limit of £100,000. Larger clubs which exceed this limit need to set up a trading subsidiary to be a CASC
  • Your club must be non-profit making – any profits must be re-invested into the club
  • If, in the event your club is wound up, your constitution must state that any remaining assets be distributed for use broadly in community sport or to another CASC
  • The club must be managed by fit and proper persons
  • There are special considerations for multisport clubs who are CASCs
  • It can be difficult to leave the CASC scheme once registered
Please see here for further information on the qualifying criteria for CASC status.

How to apply to become a CASC?
Clubs wishing to become a CASC need to complete an application form and return it to the HMRC along with a copy of its constitution and other documents which must adhere to the criteria set out above.

Please see here for further details.

Gift Aid
By becoming a CASC you will be eligible to claim Gift Aid on individual donations to your club in the same way as charities can. CASC membership fees and subscriptions do not qualify as donations.

Gift Aid works by providing income tax relief to individuals who provide a donation to your club at the same time as allowing the club to claim Gift Aid on the donation from HMRC.

For any person who pays income tax, the club claim £25 for every £100 donated. If a person is a 40% higher rate tax payer they will also be refunded £25 for every £100 they donate to a CASC.

Gift Aid Small Donations
If your CASC is claiming Gift Aid successfully it can also use the Gift Aid Small Donations scheme (GASDS) to claim back 25p in the £1 on small cash donations to the CASC but without the paperwork required when claiming Gift Aid.

Please see here for further information on how to use Gift Aid and GASDS.

Further Reading
England Hockey has set up a free helpline for hockey clubs. If you have a query regarding CASC that you would like a response to please submit it here and enter the password E4H4.