ICC-BCCI Deadlock On Tax Exemption Issue Likely To Continue

Updated: 26 February 2019 20:31 IST

ICC quarterly meeting starts on Wednesday.

ICC-BCCI Deadlock On Tax Exemption Issue Likely To Continue
The board meeting will be represented by Amitabh Chaudhary. © AFP

Tax exemptions for future global events, broadcasting rights for the World Test Championship and capping participation in private T20 leagues are among the issues that will come up for discussion at the ICC quarterly meeting starting Wednesday. There are a host of meetings lined up beginning with the ICC Chief Executives Committee (CEC) meeting, where India will be represented by BCCI CEO Rahul Johri, and ending with the board meeting where acting secretary Amitabh Chaudhary will be the country's face.

Following are some of the key issues that will come up for discussion 1) Tax Exemption Impasse: One of the key issues will be tax exemption sought by the ICC for the future global events in India like the 2021 World T20 (changed from Champions Trophy) and the 2023 World Cup.

However, as per present rules, it is highly unlikely that the ICC will get any exemption and the deadlock is expected to continue, a BCCI official said.

"ICC wants tax exemption as they want to spend that money for development of the game in new areas. That's fine but there needs to be a discussion as to why they need tax exemption. They need an exemption on excise duties, primarily for importing production equipment," a senior BCCI official privy to ICC working, told PTI on conditions of anonymity.

"If they are demanding tax exemption for the producers (broadcasters), as far as we know, the liability is on the latter. ICC doesn't have any tax liability as of now. Also if the event happens in India, ICC's global events broadcast partner is Star and they have a full set up in India.

"So the question arises as to why do they need tax exemptions. In any case, there are stipulated government rules which we cannot violate," the BCCI official added. 2) Broadcast issues related to the World Test Championship: The broadcast modalities for the inaugural ICC World Test Championship could be completely different from the usual events like World T20 and the ODI World Cup organised by the global body.

In case of limited overs global events, there is one company that gets the broadcast rights and currently the ICC's rights for the global event are with Star.

However, the World Test Championship will be based on points accrued by teams based on results of bilateral series over a period of two years with the final slated to be held at the Lord's in 2021.

"Right now, ICC is the organiser of just one game and that is the World Test Championship final. All other matches are part of bilateral series and each country has its own official broadcaster. This is one issue that ICC will need to resolve," a senior BCCI official said.

ICC will look to thrash out the details about the broadcasting details for the mega event and the revenue sharing model.

3) Cap on players' representation in Private Leagues based on a survey: The ICC, in all likelihood, will put a cap on international players plying their trade in various private franchise after having done an internal survey.

It is learnt that as per the survey, more than 95 percent of the international players play only one franchise league and that's why the ICC won't have a problem in putting a cap.

"It is less than five percent players who ply their trades in two or more leagues. There can be obviously be a cap on maximum two or three leagues," an ICC board member said.

It is expected that West Indies players will be affected the most as most of their top players freelance across the globe.

"There will also be discussion as to how many maximum overseas players should be allowed in one private league. The BCCI already has put a self-cap for teams but other leagues might be brought in the ambit.

"However, in smaller countries like Afghanistan, there may be a need to have more quality overseas professionals unlike IPL or the Big Bash League," the official said.

4) Cricket in Los Angeles 2028 Olympics: Talks will continue on making T20 cricket a part of the 2028 Los Angeles Olympics but as of now, the ICC's biggest impediment is India. The BCCI is not a registered National Sports Federation (NSF) under the Indian Olympic Association and it also doesn't take government grants. The BCCI's refusal to come under the IOA ambit is partly because of their reluctance to come under Right To Information (RTI) act.

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Topics mentioned in this article India India Cricket Team Cricket
Highlights
  • ICC quarterly meeting starts on Wednesday
  • There are a host of meetings lined up beginning with the ICC CEC
  • It is highly unlikely that the ICC will get any exemption
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