How are professional football player transfers taxed in South Africa

dc.contributor.advisorTitus, Afton
dc.contributor.authorNqiwa, Fezile
dc.date.accessioned2024-05-31T09:36:24Z
dc.date.available2024-05-31T09:36:24Z
dc.date.issued2023
dc.date.updated2024-05-31T06:41:26Z
dc.description.abstractABSTRACT In a document entitled Guide on the Taxation of Professional Sports Clubs and Players, the South African Revenue Service (“SARS”) states that it is unlikely that professional soccer clubs could be said to trade in player contracts, and accordingly, player transfers are unlikely to constitute revenue receipts or expenditure as anticipated by the Income Tax Act. The author critically evaluates SARS's assertion by applying the applicable football regulations and well-established South African common-law tax principles to practical scenarios premised upon common player transfer methods, which include combinations of permanent player transfers, temporary player transfers, free player transfers, a bridge player transfer, a buy-out player transfer and buy-back player transfers. The key outcomes and recommendations from this paper are that: I. the commercialisation of football has influenced a change in the player transfer market – clubs are increasingly engaging in speculative player transfer practices. Accordingly, SARS should acknowledge these developments and publish a guideline dedicated to the tax treatment player transfers. II. the Income Tax Act should be amended to include a limited tax exemption on training compensation received by clubs who train young players to become professionals, as the development of young players is social good which should be encouraged and rewarded.
dc.identifier.apacitationNqiwa, F. (2023). <i>How are professional football player transfers taxed in South Africa</i>. (). ,Faculty of Law ,Department of Commercial Law. Retrieved from http://hdl.handle.net/11427/39780en_ZA
dc.identifier.chicagocitationNqiwa, Fezile. <i>"How are professional football player transfers taxed in South Africa."</i> ., ,Faculty of Law ,Department of Commercial Law, 2023. http://hdl.handle.net/11427/39780en_ZA
dc.identifier.citationNqiwa, F. 2023. How are professional football player transfers taxed in South Africa. . ,Faculty of Law ,Department of Commercial Law. http://hdl.handle.net/11427/39780en_ZA
dc.identifier.ris TY - Thesis / Dissertation AU - Nqiwa, Fezile AB - ABSTRACT In a document entitled Guide on the Taxation of Professional Sports Clubs and Players, the South African Revenue Service (“SARS”) states that it is unlikely that professional soccer clubs could be said to trade in player contracts, and accordingly, player transfers are unlikely to constitute revenue receipts or expenditure as anticipated by the Income Tax Act. The author critically evaluates SARS's assertion by applying the applicable football regulations and well-established South African common-law tax principles to practical scenarios premised upon common player transfer methods, which include combinations of permanent player transfers, temporary player transfers, free player transfers, a bridge player transfer, a buy-out player transfer and buy-back player transfers. The key outcomes and recommendations from this paper are that: I. the commercialisation of football has influenced a change in the player transfer market – clubs are increasingly engaging in speculative player transfer practices. Accordingly, SARS should acknowledge these developments and publish a guideline dedicated to the tax treatment player transfers. II. the Income Tax Act should be amended to include a limited tax exemption on training compensation received by clubs who train young players to become professionals, as the development of young players is social good which should be encouraged and rewarded. DA - 2023 DB - OpenUCT DP - University of Cape Town KW - Law LK - https://open.uct.ac.za PY - 2023 T1 - How are professional football player transfers taxed in South Africa TI - How are professional football player transfers taxed in South Africa UR - http://hdl.handle.net/11427/39780 ER - en_ZA
dc.identifier.urihttp://hdl.handle.net/11427/39780
dc.identifier.vancouvercitationNqiwa F. How are professional football player transfers taxed in South Africa. []. ,Faculty of Law ,Department of Commercial Law, 2023 [cited yyyy month dd]. Available from: http://hdl.handle.net/11427/39780en_ZA
dc.language.rfc3066Eng
dc.publisher.departmentDepartment of Commercial Law
dc.publisher.facultyFaculty of Law
dc.subjectLaw
dc.titleHow are professional football player transfers taxed in South Africa
dc.typeThesis / Dissertation
dc.type.qualificationlevelMasters
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