ICC gets tax break

[kabira]

I don;t know if this will be politics or sports discussion. But UPA government does it again. ICC is not even a Indian company/institute. UPA slased sports budget by 30% and now gives tax breaks to ICC. How rubbish..it boils my blood, Please discuss.

[satyam1729]

All the money will come back to India via BCCI.

[Mariyam]

Doesn't ICC get a tax break in every country where the ICC WC is hosted? Correct me if I am wrong, but isn't that a (the) criteria to host the cup?

[The Outsider]

Doesn't ICC get a tax break in every country where the ICC WC is hosted? Correct me if I am wrong' date=' but isn't that a (the) criteria to host the cup?[/quote'] You are right. That's one of the conditions of even FIFA to stage a World Cup in a country.

[Asim]

Bccicc

[kabira]

You are right. That's one of the conditions of even FIFA to stage a World Cup in a country.

The problem is UPA sports ministery opposed it. and UPA cut down 30% sports budget. The decision was taken because Sharad Pawar is also part of government. And why did it take them so long to decide on this. I remember ICC applied for it long time back.

[Mariyam]

The problem is UPA sports ministery opposed it. and UPA cut down 30% sports budget. The decision was taken because Sharad Pawar is also part of government. And why did it take them so long to decide on this. I remember ICC applied for it long time back.

I don't understand. ICC have granted India hosting rights with an understanding that they get a tax break. Subsequent changes in Indian tax laws will not affect a contract signed before. Besides if the govt taxed ICC, we wouldn't be hosting the WC. What has the 30% cut in sports budget have to do with this?

[kabira]

>ICC have granted India hosting rights with an understanding that they get a tax break. where does it say that??

[Mariyam]

>ICC have granted India hosting rights with an understanding that they get a tax break. where does it say that??

When India were granted the hosting rights for the WC in 2006 or 2007 (can't exactly remember), it was agreed ( and it is always agreed) that the ICC will have a tax break. New legislation in the parliament cannot renege upon what was agreed upon earlier. Its simple. You don't give tax breaks to ICC and they won't sanction your hosting the event. Same was the case in the Caribbean, in the UK and in South Africa.

[kabira]

^if thats the case why was they given break on the last day of the tournament. WTF was ICC doing before this?

[Mariyam]

^if thats the case why was they given break on the last day of the tournament. WTF was ICC doing before this?

Good question. Possibly because its the end of the financial year and all that. Also because, the govt may have done some posturing and tough talking about not giving ICC breaks alana falana for domestic consumption ( of course ICC would know that such talk is all gas) and at the 11th hour done the needful by giving them the promised break. But this eventual outcome was never in doubt. Why does it upset you so much though? That is something that I cannot figure out. Indian government is also earning (indirectly) through the increased tourism from the tournament. Also, sports channels etc pay huge royalties for rights and earn huge amounts from brands they advertise. Some of that does trickle down to the govt in the form of taxes. What exactly is your complaint?

[zen]

Yup, like what many have said, you are required to give ICC the tax break .... The host country benefits through activities like tourism, money spent by ICC, etc.

[Sachin=GOD]

^if thats the case why was they given break on the last day of the tournament. WTF was ICC doing before this?

the head of the ICC is an Indian and the head of the WC Organising Committee is also an Indian................so obviously they were sleeping till the last moment and now just a day before the WC ends, they suddenly wake up and remember about the tax breaks :--D

[ganeshran]

I hope you are not insinuating about some silly conspiracy theory

[kabira]

Good question. Possibly because its the end of the financial year and all that. Also because, the govt may have done some posturing and tough talking about not giving ICC breaks alana falana for domestic consumption ( of course ICC would know that such talk is all gas) and at the 11th hour done the needful by giving them the promised break. But this eventual outcome was never in doubt. Why does it upset you so much though? That is something that I cannot figure out. Indian government is also earning (indirectly) through the increased tourism that the tournament has resulted in. Also, sports channels etc pay huge royalties for rights and earn huge amounts from brands they advertise. Some of that does trickle down to the govt in the form of taxes. What exactly is your complaint?

My complaint is simple, Government cuts down on sports budget, and when one of our main sports can give them money through taxes, why give it away? Why was Sharad Pawar part of decision process? He is not part of sports ministry. Why was this done at the last moment. To me it seems something fishy, Pawar must have got some cut in this. I won't be surprised if somoene files PIL soon on this.

[Sachin=GOD]

My complaint is simple' date=' Government cuts down on sports budget, and when one of our main sports can give them money through taxes, why give it away?[/quote'] Exactly. And to add to that, the BCCI is richest sports body in the World so it can very well afford to give such huge amounts in tax. because : a. he is the ICC President ; b. He is a member of the Unioin Cabitnet and such decisions are usually taken in meetings of Groups of Ministers (GoM) and he may be a part of such a GoM. Its the Indian Govt that had to give the tax breaks and an Indian who is heading the ICC, so you can expect the late timing :--D :agree:

[Mariyam]

My complaint is simple' date=' Government cuts down on sports budget, and when one of our main sports can give them money through taxes, why give it away?[/quote'] The sports budget has nothing to do with this. And the government can cut down on the sports budget if it sees fit. With increasing corporate sponsorship in even ridiculous low IQ sports like football prevalent these days, why should the government consider it necessary to fund every sport as much as it did before. I am not arguing for or against an increase. I am telling you that it is well within the rights of the government to do so. However, going back on the agreement with ICC is not possible. ICC could take the BCCI ( a semi govt body) to court over it. And win the case, because this is a clear case of fraud (if you don't give a tax break). You make a promise to win a contract and then go back on your promise after getting the contract. That is why the govt gave the tax breaks. And they always intended to do so. I just said in my previous post why it was possibly done the last moment.

[kabira]

>because : a. he is the ICC President ; b. He is a member of the Unioin Cabitnet and such decisions are usually taken in meetings of Groups of Ministers (GoM) and he may be a part of such a GoM. Not really, few ppl inside government opposed that as well. It was not ICC v/s GoI meeting. He is agricultural minister LOL no way he can be part of decision making for something related to sports. Its conflict of interest to me.

[Sachin=GOD]

Not really, few ppl inside government opposed that as well. It was not ICC v/s GoI meeting. He is agricultural minister LOL no way he can be part of decision making for something related to sports. Its conflict of interest to me.

but he's the ICC President along with being a member of the Govt, so you can expect him to be involved in Govt decision making regarding matters related to cricket. Happens in every country where you have politicians as head of sports bodies - they are always involved in Govt decisions with regards to sports, whether they are the sports minister or not.

[akshayxyz]

Its sick. People who can afford to pay 'whatever' taxes either: - manage to get the tax-breaks - or are able to avoid/ forge/cheat-their-way-through to avoid the taxes completely. and we cant do anything about it but cry/complain/discuss about it and at the end of the year continue paying our taxes as per norms :(. - set by these blood sucking bastards.