Sport Ireland is working with Revenue on a potential tax settlement estimated at under €1 million, according to The Sunday Independent.
The move follows a Supreme Court ruling involving pizza delivery drivers, which determined they were employees rather than contractors.
Sport Ireland said it fears the decision could affect sports organisations that rely on freelance coaches, referees and assessors. It warned that National Governing Bodies and Local Sports Partnerships may also face liabilities.
In a statement to the Sunday Independent, the body said its financial reserves allow it “to implement solutions without compromising operations”.
It said the voluntary payment is still being calculated and “has not yet been finalised”.
Sport Ireland confirmed it uses contractors for services such as coaching, anti-doping sample collection, trail inspections and assessments.
“Close to 70% of contractors deliver for us for around 10 hours a month,” it said. Many work on a casual, part-time or rostered basis.
Revenue guidance issued in May advised businesses to review all working arrangements and assess employment status for tax purposes.
The Department of Sport told the Sunday Independent the disclosure was “a proactive compliance step, not a response to a settlement demand or a tax bill”.
It said the process arose from a review of Sport Ireland’s contracts following the 2023 Karshan judgment. That review led to voluntary disclosure to Revenue.
The department said updates on the case must be submitted by January 30th, 2026.
“We are working with independent tax advisors, the Department of Culture, and Revenue to ensure compliance,” Sport Ireland said. “We will meet our obligations by the date set out by Revenue.”
The organisation said the issue affects employers across public and private sectors and that its priorities are “compliance, the contractors who deliver for us, and continuing to develop sport at all levels”.
Sport Ireland has engaged the department about how other bodies can respond to the ruling and new Revenue guidance.
It said it wants clarity for the wider sports sector to prevent unexpected tax burdens.
Read The Sunday Independent here
