The Olympic Committee takes a position on the government program. The purpose of the government is to turn movement into growth, but at the same time the value added tax is increased.
The Finnish Olympic Committee is concerned about raising the VAT on sports services by four percentage points to 14 percent. According to the release of the Olympic Committee, the government’s program is contradictory.
The government is launching the Suomi Liikkelle program, which aims to translate movement into growth in every age group. According to the Olympic Committee, the Suomi Liikkeelle program, which promotes the active lifestyle and functional capacity of Finns, is a significant step forward in solving the immobility crisis.
At the same time, however, raising the value-added tax on sports services hits the promotion of exercise and sports at a time when the sports industry is still partially recovering from the corona pandemic and is also suffering from high inflation.
According to the Olympic Committee, raising the value added tax on sports services worries the sports community as well as entrepreneurs in the field and causes costs for exercisers, sports clubs and sports companies alike, and it dilutes the government’s goal to move more and more Finns.
– The clubs have reported an increase of up to 30% in the costs of accommodation, travel, meals and competition and camp activities. Increases in the rents of sports facilities are still transferred through the clubs to hobby fees and thus to be paid by households. I’m afraid that at worst this will further unequalize the opportunities for families to enjoy sports and the ones who will suffer the most will be those who have already had difficulties paying their bills, Director of the Club and Membership Activities Unit of the Olympic Committee Jaana Tulla states.
– The important thing is that the assessment and preparation related to taxation is done as soon as possible and the taxation of physical activity is lightened. The sports club or the entrepreneur in the sports sector will write the final bill for the athlete, Tulla continues.
According to the Olympic Committee, the growing cuts to the Ministry of Education and Culture’s state grants towards the end of the government term will destroy the agreement reached by the parliamentary parties last year on the funding of sports, culture, social welfare organizations and science. The sports budget finances e.g. construction of sports facilities, support and advisory services of sports organizations, club support and elite sports, as well as responsibility work, which is also included in the program.
– Exercise and sports should not be cut in order to achieve the good goals of the government program to increase the movement of Finns, concludes Tulla.