Although the finance bill for 2025 represents a drop of just over 273 million euros in credits from the Ministry of Sports (- 188 million only for the sports mission and – 85 million for the end of the Olympic Games mission and Paralympics), also reveals 141 million euros of lost income for the State, due to the tax exemptions enjoyed by the sports sector.
These “tax expenses”, as they are described in budget jargon, amounted to 133 million in 2024 and 148 million in 2023. They are mainly due to the application of a reduced VAT rate of 5.5% on the sale of tickets for sporting events. The cost of this provision is estimated at 130 million euros in 2025, after 123 million this year and 122 million in 2023.
In the documents of the Ministry of Budget, however, no details are given about what is related to the Rugby World Cup and the Olympic and Paralympic Games, the two major events organized in France during the year 2023 and 2024.
The impact on the public coffers of the tax exemptions from which the organizers of these two events benefited, on their income and possible benefits, such as those of major international sporting events (GESI) in general, remains minimal.
The state budget deficit due to the exemptions of benefits and income made in France by these GESI is estimated at 4 million euros in 2025, after 2 million this year and 18 million in 2023. The cost of the exemptions from withholdings in origin on the benefits and income of these same GESI are calculated at zero in 2025, when they were 1 million euros in 2024, in 2023 and in 2022.
Please note that the Organizing Committee of the Olympic and Paralympic Games (Cojop) is not affected by exemptions from corporate tax and taxes related to remuneration paid to its employees. In fact, the structure should not generate profits and, since it is not subject to business taxes, it is not subject to payroll tax.
For the State, the deficit in tax revenue linked to the Olympic Games will essentially come from the exemption from withholding at source for the fees paid to the IOC by the Cojop on the income of its company and from the non-taxation of the official timekeeper of the Games. . the Swiss watchmaker Omega, about the remuneration received from Cojop. At the end of 2022, these tax revenue losses were estimated at €3.25 million and around €4 million respectively.
