Citation, commencement and interpretation

1.  These Regulations may be cited as the Major Sporting Events (Income Tax Exemption) Regulations 2016 and shall come into force on 19th July 2016.

2.  In these Regulations-

(a)"Championships Period" means the period-

(i)beginning with 12th July 2017; and

(ii)ending with 15th August 2017;

(b)"duly accredited competitor" means-

(i)in relation to the London Anniversary Games, a competitor who has been accredited to compete at those Games by the International Association of Athletics Federations, the International Paralympic Committee, UK Athletics Limited (Company number 03686940) or any other official event organiser;

(ii)in relation to the World Athletics Championships, a competitor who has been accredited to compete in either or both of the events making up those Championships by the International Association of Athletics Federations, the International Paralympic Committee, London 2017 Limited (Company number 08492880) or any other official event organiser;

(c)"Games Period" means the period-

(i)beginning with 20th July 2016; and

(ii)ending with 25th July 2016;

(d)"income" means employment income(2) or profits of a trade, profession or vocation (including profits treated as arising as a result of section 13 of the Income Tax (Trading and Other Income) Act 2005(3);

(e)"London Anniversary Games" means the athletics event planned to be held at the Queen Elizabeth Olympic Park in London on 22nd and 23rd July 2016;

(f)"World Athletics Championships" means these events-

(i)the International Paralympic Committee Athletics World Championships event planned to be held at the Queen Elizabeth Olympic Park in London from 14th to 23rd July 2017 inclusive; and

(ii)the International Association of Athletics Federations World Championships event planned to be held at the Queen Elizabeth Olympic Park in London from 4th to 13th August 2017 inclusive.

London Anniversary Games

3.  A duly accredited competitor who performs a London Anniversary Games activity is not liable to income tax in respect of any income arising from the activity if the Games non-residence condition is met.

4.  The following are London Anniversary Games activities-

(a)competing at the London Anniversary Games,

(b)any activity that is performed during the Games Period the main purpose of which is to support or promote the London Anniversary Games.

5.  The Games non-residence condition is that-

(a)the duly accredited competitor is non-UK resident for the tax year 2016-17, or

(b)the duly accredited competitor is UK resident for the tax year 2016-17 but the year is a split year as respects the competitor and the activity is performed during the overseas part of the year(4).

6.  Section 966 of the Income Tax Act 2007 (deduction of sums representing income tax) does not apply to any payment or transfer which gives rise to income benefitting from the exemption in regulation 3.

World Athletics Championships

7.  A duly accredited competitor who performs a World Athletics Championships activity is not liable to income tax in respect of any income arising from the activity if the Championships non-residence condition is met.

8.  The following are World Athletics Championships activities-

(a)competing at either or both of the events making up the World Athletics Championships,

(b)any activity that is performed during the Championships Period the main purpose of which is to support or promote either or both of the events making up the World Athletics Championships.

9.  The Championships non-residence condition is that-

(a)the duly accredited competitor is non-UK resident for the tax year 2017-18, or

(b)the duly accredited competitor is UK resident for the tax year 2017-18 but the year is a split year as respects the competitor and the activity is performed during the overseas part of the year.

10.  Section 966 of the Income Tax Act 2007 does not apply to any payment or transfer which gives rise to income benefitting from the exemption in regulation 7.

EXPLANATORY NOTE

(This note is not part of the Regulations)

These Regulations provide for an exemption from income tax for overseas competitors (including UK residents who are in the overseas part of a split year) competing in the London Anniversary Games 2016 and the World Athletics Championships 2017. This exemption applies to income which these individuals get for competing in, supporting or promoting those competitions.

Regulations 3 to 6 mean that overseas competitors in the London Anniversary Games 2016 do not have to pay income tax on income which they get for competing in or promoting the event. The event is planned to take place on 22nd and 23rd July 2016. This income tax exemption is available from two days before until two days after the Games.

Regulations 7 to 10 mean that overseas competitors in the World Athletics Championships 2017 do not have to pay income tax on income which they get for competing in or promoting the Championships. There are two events which make up the Championships. The first is the IPC Athletics World Championships, for paralympic athletes, which is planned to take place from 14th to 23rd July 2017. The second is the IAAF World Championships which is planned to take place from 4th to 13th August 2017. The income tax exemption is available from two days before the first event until two days after the second event and applies to those who compete in, support or promote either or both of the events which make up the Championships.

A Tax Information and Impact Note covering this instrument will be published on the website at http://www.gov.uk/government/collections/tax-information-and-impact-notes-tiins.