BCCI Tax Contribution Revealed: Rs 1,159 Crore in 2021-22
BCCI Tax Contribution: In a significant revelation, the Board of Control for Cricket in India (BCCI) has emerged as a substantial contributor to the country’s tax revenue. The latest financial data for the fiscal year 2021-22 showcases an eye-watering income tax payment of Rs 1,159 crore by the cricketing giant. This hefty tax contribution reflects a staggering 37% increase compared to the preceding year, demonstrating the financial strength and impact of BCCI on India’s economic landscape.
Let’s have a look into the details of this impressive financial feat through a concise breakdown: BCCI Tax Contribution
Steady Tax Growth Over Five Years
- The Minister of State for Finance, Pankaj Chaudhary, revealed that BCCI’s income tax payments have been on a steady upward trajectory. The organization paid Rs 882.29 crore in the fiscal year 2020-21, a significant increase from the Rs 596.63 crore paid in FY 2017-18.
Revenue and Expenditures Snapshot
- The financial report for 2021-22 illustrates a robust financial performance by BCCI. It reported a staggering revenue of Rs 7,606 crore against expenditures of over Rs 3,064 crore, further underscoring its financial prowess.
Tax Payment for ICC World Cup 2023
- In addition to its domestic tax contributions, BCCI will also play a significant role in the upcoming ICC World Cup 2023. The cricketing body is set to pay an enormous Rs 963 crore in taxes on behalf of the International Cricket Council (ICC) for the event. This financial transaction is in line with a host agreement signed between BCCI and ICC years ago.
Tax Exemption Agreement
- The BCCI and ICC’s host agreement stipulated tax exemptions for three major men’s cricket events awarded to India in 2014: the 2016 T20 World Cup, the 2018 Champions Trophy (later converted to the 2021 T20 World Cup), and the upcoming 2023 ODI World Cup.
Impact on BCCI’s Finances
- Indian tax authorities have notified the ICC about the imposition of a 20% tax on the broadcast proceeds from the ICC World Cup 2023. This tax order has prompted the BCCI to take measures to safeguard its financial interests.
- BCCI stated that any taxes incurred by the ICC will be adjusted against the Indian board’s income from ICC’s central revenue pool. It’s estimated that the ICC anticipates earning USD 533.29 million from the broadcast of the 2023 World Cup.
- The BCCI has highlighted the potential financial impact of this tax, which could exceed USD 116.47 million (approximately INR 962.67 crore) if the tax rate becomes 21.84%.
The BCCI’s financial prowess continues to shine brightly, not only within the realm of cricket but also in contributing significantly to the nation’s tax revenues. This substantial income tax payment reaffirms the BCCI’s status as a financial powerhouse, a position that mirrors its significance in the global cricketing landscape.
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