The BCCI encountered a similar problem when it hosted the T20 World Cup in 2016. The government refused to provide a tax exemption, and there has been no change in New Delhi’s stance despite the board’s appeals.
BCCI logo (Reuters Image)
- Tax exemptions for ICC events are listed as a requirement in host agreements
- ICC had reportedly threatened to take the hosting rights from India
- There is no risk to the tournament: BCCI treasurer Dhumal
India is not at risk of losing hosting rights for next year’s Twenty20 World Cup despite its cricket board’s failure to secure a tax exemption for the event, a key BCCI official has told Reuters.
Tax exemptions for International Cricket Council (ICC) events are listed as a requirement in host agreements and the BCCI was supposed to confirm they had secured one by May 18.
ESPNcricinfo, citing correspondence between the two bodies, has reported that the ICC has threatened to shift the tournament away from India over the issue.
However, BCCI treasurer Arun Singh Dhumal told Reuters that would not happen and that negotiations were continuing.
“There is no risk to the tournament,” he said by telephone.
“That is a work in progress. We are discussing it with the ICC and we’ll resolve it.”
The BCCI encountered a similar problem when it hosted the event in 2016 when the government refused to provide a tax exemption, and there has been no change in New Delhi’s stance despite the board’s appeals.
Failure to secure that exemption in 2016 saw the ICC withhold an equivalent sum from India’s share of revenue from the governing body’s grants and it appears to be taking an even harder line this time around.
“There are certain timelines within the agreements that we collectively work towards to ensure we can deliver successful world class events and continue to invest in the sport of cricket,” an ICC spokesperson told Reuters.
“In addition to this the ICC Board agreed clear timelines for the resolution of the tax issues which we are guided by.”