New Delhi:
The Board of Control for Cricket in India (BCCI) will have to shell out a whopping Rs 120 crore in tax and pay a penalty too. The Income Tax department has revoked tax exemptions to the board saying there is nothing charitable about it.
An order to this effect was served on December 30.
Tax exemptions had been granted to the BCCI on the grounds that promoting cricket was a charitable activity. The IT department, however, says the board has now become totally commercial and its activities cannot be seen as charitable.
In revoking the exemptions, the IT department has taken into account the fact that the BCCI had changed its rules to include holding T-20 matches, but had not informed the department about this new commercial venture
It also bolstered its case by pointing out that the BCCI had done little to develop infrastructure for cricket.
An order to this effect was served on December 30.
Tax exemptions had been granted to the BCCI on the grounds that promoting cricket was a charitable activity. The IT department, however, says the board has now become totally commercial and its activities cannot be seen as charitable.
In revoking the exemptions, the IT department has taken into account the fact that the BCCI had changed its rules to include holding T-20 matches, but had not informed the department about this new commercial venture
It also bolstered its case by pointing out that the BCCI had done little to develop infrastructure for cricket.
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