Written Answers. - Green Fees.

Ivan Yates

Ceist:

76 Mr. Yates asked the Minister for Finance if, in his view and in the view of the Revenue Commissioners, green fees payable to golf clubs from non-golf club members constitute a commercial activity under the VAT code.

The Value-Added Tax Act, 1972 — as amended — exempts from VAT the provision, by non-profit making organisations, of facilities for taking part in sporting activities. The Act also provides for the application of the 12½ per cent rate of VAT to the supply of such facilities by persons other than non-profit making organisations. This means that, where a golf club operates on a non-profit making basis, the green fees are exempt from VAT. Where it operates on a profit-making basis the green fees are liable to VAT at the 12½ per cent rate. This is so whether the green fees are paid by members or by non-members.