The Spanish government has enacted tax relief schemes for corporate sponsors of Madrid 2020 that are now effective through to the end of 2013.
The plan was reviewed Tuesday at Madrid’s first bid consortium meeting to discuss the promotion of private-sector support for the city’s campaign to host the 2020 Olympic Games.
The plan, first revealed exclusively to GamesBids.com during an IOC meeting last May, gives corporate donors up to 15% tax relief and tax credits of up to 95% on the purchase of good or rights. the federal government officially declared the Madrid bid “an event of exceptional public interest” in order to enact this special fiscal policy.
Private-sector support will be a critical component of Madrid’s bid due to the stagnant Spanish economy; after austerity measures were introduced the campaign’s budget was slashed when compared with that of the failed 2016 bid. Madrid will need funds to increase marketing and lobbying efforts in order to compete effectively with rivals Istanbul and Tokyo.
Tuesday’s meeting approved the Financial Plan, the Consortium’s Activities Programme and the Brand Application Manual, which provides companies with detailed information on the activities that can be carried out in conjunction with the “Madrid 2020” brand, as well as the technical criteria pertaining to the tax relief applicable to each activity.
