Golf: Lothian clubs hope to win back thousands from taxman

A court decision in a case between English club Bridport and West Dorset versus HM Revenue and Customs ruled that income from visitor green fees at golf clubs should not be subject to VAT.

Potentially, the club could now benefit in thousands of pounds in reclaimed tax.

Several Scottish clubs have also lodged claims over the past year, with clubs estimated to be in line for payments ranging from 3000 up to 240,000 - figures that could double with interest added on.

HM Revenue & Customs have been given up to 56 days to appeal the decision but the potential windfall is being welcomed in the Lothians.

"We have a claim in and it's a significant amount of money," said Kingsknowe secretary Richard McLuckie. "It's not just for pennies - it's in the thousands.

"It would definitely be a boost for any golf club to get a windfall like this and I would imagine that any golf club that has not yet made a claim will certainly be doing so.

"The last time something like this happened, for gaming machines if my memory serves me right, clubs ended up with a lot of money.

"I was at West Lothian at the time and the club got around 26,000 back."

Gullane, which has one of the biggest green fee incomes anywhere in Scotland, could be set for a massive windfall.

"We have a claim in and it's now a case of sitting and waiting," said club manager Stephen Anthony.

"Even if the tax man doesn't appeal against the decision in favour of Bridport and West Dorset, it doesn't mean to say all the other claims will be successful.

"My understanding is that they have all been rejected at the moment and every case will be judged on its own merits."

Andy Salmon, Scottish Golf's development manager, is keeping his fingers crossed for Scottish clubs.

He said: "The tribunal decision will be warmly received by many of the SGU and SLGA's affiliated clubs, some of whom could be set for a significant financial boost.

"We have been monitoring the situation closely with our partners at VAT services and keeping our member clubs informed of the progress.

"Clubs have faced very challenging circumstances over the past three years and those who have submitted claims, no matter how small, will hopefully benefit from this decision.

"We strongly urge clubs to take professional VAT advice to ensure that they are realising any opportunity that might exist as a result of this ruling."

Like others around Scotland, several clubs in the Lothians have been feeling the pinch over the past few years and it would be a major boost for some to receive such a windfall. "This is fantastic news for golf clubs," said Gary Moore, of VAT Services (Scotland) Ltd, who has been working with the SGU and SLGA for the past two years. "Like many organisations, they have found it tough in the recession and this will be a very welcome boost.

"We always believed there was a good chance of a successful outcome and we have spent a lot of time preparing and submitting claims for our clients.

"It is not too late for clubs who have not yet taken action. The opportunity is still there to consider a claim only for the last four years.

"However, we should also point out while many clubs are set to benefit, not all will."