TaxTV:  The Open Championship, A Taxing Golf Tournament:

[N]ow is a good time to review the UK’s taxation rules on non-resident athletes. Not only will the golfers in this week’s tournament be liable for taxes on their winnings, but they will also owe Her Majesty’s Revenue and Customs (HMRC—UK’s tax collector) for taxes on endorsement income. In fact, even those who do not make the cut — and will therefore not earn money from the tournament — must pay taxes on endorsements. HMRC has a “Foreign Entertainers Unit (FEU)” whose job is to track the movement of athletes and entertainers who play or perform in the UK throughout the year. Tournaments withhold taxes from athlete earnings, so tracing income and withholding is relatively easy. …

[G]olfers playing in The Open Championship will pay taxes on the following income from this week’s work:

• Tournament Winnings — for those who make the cut
• Endorsement Retainers — taxed based on days playing/practicing in the UK v. days playing/practicing elsewhere
• Winning/Placing Bonuses — fully taxed by the UK
• Ranking Bonuses — taxed based on ranking points earned in the UK v. points earned elsewhere
• Paid appearances before, during & after The Open

(Hat Tip: Cory Birkhauser.)