This tax recovery which could put the French Rugby Federation in cessation of payment

This tax recovery which could put the French Rugby Federation in cessation of payment


Penalties, linked to a bad rate of VAT on travel packages during the World Cup-2013 in France, are likely to weaken a little more an FFR already in the red.

The Economic Interest Group (GIE) in charge of the organization of the Rugby World Cup has been noted a tax recovery and penalties of 20.7 million euros, announced the president of the French Federation of Rugby Florian Grill, confirming information from the newspaper L’Equipe.

The tax administration reproaches GIE a bad application of VAT on tickets ticket+travel or ticket+hospitalities revealed the sports newspaper on Tuesday. The GIE considers that VAT must be 5.5%, the rate of a match ticket, while the administration estimates that the rate that should apply is the basic rate, 20%.

Losses of 13 million in 2024 for the FFR

The invoice, recovery and penalty included, amounts to 20.7 million euros. The GIE is 55% owned by the French Rugby Federation and 45% by the organization of the World Cup-2013, the state of which, but also the FFR, is one of the shareholders.

The consequences would be heavy for the French rugby federation, which tightens the belt and suffers from a chronic exploitation deficit. She revealed a loss of 13 million euros in her offbeat exercise of the 2023-2024 season, in particular by integrating into her accounts the loss of 16.3 million euros due to the deficit linked to the economic group of the Mondial-2023.

“We cannot climb the northern face of Everest”

“We save 18 million euros on a budget of 130 by asking everyone to make efforts, we find new partners but we cannot climb the north face of Everest with stones in the doS “, imagined Florian Grill. “If we were to settle this sum, we would be in cessation of payment”he also assured.

An interdepartmental meeting, in which members of the federation participate, must be held this Wednesday, February 5, he explained.

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