Drafting and tax classification of sponsoring agreements and development of sponsoring concepts
When developing sponsorship concepts, it is important to also consider the tax implications. This is because, depending on the consideration given by the nonprofit organization, sponsorship can be assigned to the tax-exempt non-material sphere, partially tax-exempt asset management or taxable commercial business operations. Depending on how it is structured, the tax burden for the non-profit organization can therefore be very different.
However, tax avoidance need not always be the best solution, as sponsors are often willing to offer substantially higher levels of support if they are offered appropriate consideration in return.
This is how we help you
We check the tax classification of your existing sponsoring agreements and help you to develop sponsoring agreements or a sponsoring concept. In doing so, we draw on our extensive experience.