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V2130-19 ·12 August 2019 ·consulta-vinculante Medium impact
Tax

Tennis tournament prizes may be deductible expenses if they follow established customs

A company organising tennis tournaments has enquired whether the prizes awarded to players are deductible expenses. The Spanish Tax Agency (DGT) has ruled that they may be, provided they are an essential part of the tournament and align with established customs, subject to meeting registration and substantiation requirements.

In 6 key points

How it affects those involved

This ruling provides clarity for sports organisations regarding the tax treatment of prize awards, allowing for deductibility if the practice is consistent with industry standards and properly documented.

Lifecycle

2019-08-12PublishedPublished in the BOE
Official text Based on BOE data (boe.es). Information, not advice.

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This analysis is informational only and does not constitute legal advice or create a client-adviser relationship. BM Consulting.
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