World Cup Hosting Rights In Danger As ICC Seeks Compensation From BCCI
The International Cricket Council (ICC) has warned BCCI of dire consequences if the latter does not compensate the governing body before December 31 for the tax deductions incurred in hosting the last World T20.
The apex body of the game had lost quite a good chunk of fortune after hosting the last World T20 in India. The Indian government had refused to exempt the competition from tax and it has remained firm with its decision. The Indian cricket board has tried its best to make the government soften its stance but so far it has not yielded the desired result.
But the ICC is now in mood to wait anymore and has asked the BCCI to pay the compensation before the end of this month. The governing body has demanded a staggering US$23m (roughly Rs 160 cr) from the BCCI. Star TV, the official broadcast rights holder of all ICC tournaments, had deducted all taxes before paying the ICC for the competition.
The Indian board has less than 10 days left to comply with the ICC’s demand. In case the BCCI fails to meet the demand, the ICC has warned it will deduct that amount from India’s revenue share for current financial year.
However, the BCCI is also in no mood to bow down in front of ICC’s demands. The Indian board has asked the ICC to share the details where it is recorded that India had agreed to tax waiver. Time and again, the BCCI has denied that former president N Srinivasan had told the ICC that BCCI would compensate it for tax deductions should they not receive a waiver from the government.
The BCCI is adamant that it would not pay the ICC any amount if the governing body fails to share the details. The Indian body, currently run by the Committee of Administrators, has also made it clear that it could take legal actions against ICC if the latter deduct money from India’s revenue.
But the issue could lead the ICC to take some dire steps. India are set to host the 2021 Champions Trophy and the 2023 50-over World Cup. However, the ICC has hinted that it would be compelled to look at other options if BCCI does not listen to its compensation demands.
