The Spanish Sports Association supports the request from the Royal Spanish Golf Federation and the Spanish Golf Courses Association to recover a reduced rate of 10% on sports services.
The Spanish Sports Association (ADESP) has backed the claim of the Royal Spanish Golf Federation (RFEG) and the Spanish Golf Courses Association (AECG) to recover a reduced rate of 10% on the VAT for sports services, compared to the current 21%. The initiative, as reported by elespanol.com, is supported by a study from EY presented this Monday during the Spanish Open Golf Championship.
The president of ADESP, José Hidalgo, framed the proposal within a broader review of sports taxation and argued that sports practice should have a more favourable tax treatment.
“Sport is health, education, inclusion, employment, tourism and a tool for social cohesion. Therefore, we believe it is necessary to review the current VAT treatment and recover a reduced rate for sports practice.”
Golf contributes €15.937 billion annually to the Spanish economy and attracts nearly 1.4 million international tourists, according to the EY study. If the reduction were extended to all sports, the impact would reach €44.839 billion in added value, or 3.28% of GDP, and more than 635,000 full-time jobs, according to the Ivie report.
EY estimates that reducing the VAT to 10% for golf would have an initial cost of €35 million in direct revenue, which would be offset by €3.2 million from increased activity on the courses and €34.5 million from the VAT on tourism spending related to this sport. The overall balance would be positive by about €2.5 million, not counting the effects on personal income tax, social contributions or corporate tax.
The sector generates 132,994 direct, indirect and induced jobs: 118,908 associated with tourism spending and 14,086 related to the activity of the courses, where 93% of contracts are permanent.
The president of the RFEG, Juan Guerrero-Burgos, linked the measure to the recognition of sport as an essential activity.
“If sport has been recognised as an essential activity, we must move towards a tax system consistent with that consideration.”
The president of the AECG, Luis Nigorra, explained that the request does not seek preferential treatment for golf.
“We are not asking for an exception for golf. We use golf data to demonstrate what a favourable tax system for sports practice can do for the entire economy.”
The partner responsible for Tax Policy at EY Abogados, Alberto García Valera, noted that the measure “fully aligns with the European VAT Directive” and warned that high Spanish taxation “stifles sector growth and reduces our competitiveness against Europe, decreasing induced economic activity.”
Sports services moved in September 2012 from a reduced rate of 8% to the general rate of 21%, although European regulations allow for reduced rates for the use of sports facilities. Several countries already do this: Cyprus (5%), Sweden and Belgium (6%), Malta (7%), Ireland (9%) and The Netherlands (10%). In Spain, Canary Islands has applied a reduced IGIC of 3% for sports practice since 2025.
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