Why The BCCI Does Not Have To Pay Any Tax On Multi-Crore IPL Income

Every year, IPL puts everyone on the edge of their seats with its nail-biting and entertaining matches.

And the crores of money involved in the league, from auctions to sponsorships, makes it a mega event in our cricket-crazy country.

But have you ever wondered, does IPL's founding body the BCCI pay a hefty tax on this multi-crore Indian Premier League (IPL)?

The answer is, no. Surprisingly, IPL is not liable to tax.

Last year, the Income Tax Appellate Tribunal (ITAT), in an appeal filed by the BCCI  upheld the arguments of the sports body.

It stated that even though it's making money through the IPL, the objective of promoting cricket remains intact and hence its income should be exempt from tax.

The decision came in a November 2, 2021 order by the tribunal.

So, as long as the IPL profits are used for the BCCI's objective of promoting cricket, it is entitled to claim exemption, as per live law.

But as far as players are concerned, income from IPL is taxable.