Some referees across the country have been written to by HM Revenue & Customs in relation to the declaration of fees. The FA has issued the following guidance on the situation.
Referees, instructors and assessors are not employed by the County FA and therefore are self-employed: it is the responsibility of each individual to declare their status and any income. Individuals should therefore be making records of match fees and expenses.
The FA expects a referee at grassroots level to incur a self-employed trading loss that could then be offset against other income and potentially give rise to a tax repayment. A referee could account for his match fee and expenses as follows:-
1. Declare all income from refereeing.
2. Record and declare all expenditure including:
a. Affiliation and subscription fees
b. Kit including fitness training
c. Laundry expenses
d. Training expenses
e. Accountancy fees
f. Insurance
g. Mileage expenses at approved mileage rates including travel for:
i. refereeing
ii. In-Service Training
iii. attending society meetings
iv. attending fitness training
h. Training publications
i. Postage and stationery costs
j. Flat rate allowance for “ use of home” for admin at £156 per annum
k. Computer expenses and capital allowances for on-line filing of
misconduct reports
l. Anything else that is considered appropriate
On that basis, the FA expects the allowable expenses to exceed income. This would also enable referees to apply for exemption of paying Class 2 self-employed National Insurance Contributions, although (depending on their employment/ income circumstances) they might in fact want to pay Class 2 National Insurance Contributions to gain state pension and sickness benefits if appropriate.