Reports suggest BCCI may leave ICC if hosting rights for 2021 Champions Trophy and 2023 WC taken back

Indian government has been asked to provide tax exemption to the two upcoming ICC events.

The last ICC event India hosted was the 2016 World T20

Recently, it was reported that ICC may look at other options for the 2021 Champions Trophy and even 2023 World Cup, which are to be hosted by India; if BCCI fails to get tax exemptions from the Indian government for the two tournaments.

Now things might come to a standstill, as it has been reported that BCCI has warned of invoking the Members Participation Agreement (MPA), if ICC withdraws the hosting rights of the two mega tournaments from BCCI.

As per a TOI report, sources aware of the developments said, “Should the ICC use tax exemptions from Indian government as an excuse to make up for their own losses and propose the shifting of tournaments, it will lead to a disaster. India will pull out of all agreements.” 

The matter came up when the ICC board expressed their concern around the absence of tax exemption from the Indian Government for ICC events held in India, despite ongoing efforts from both the ICC and BCCI to secure the exemption which is a standard practice for major sporting events around the world,” the ICC statement had said.

BCCI supporters say that “now those numbers in the present cycle cannot be compensated so India’s tax laws can’t be used as an excuse”. ICC Chairman Shashank Manohar is looking for a re-election to the post in June this year and had won the last elections on promise to do away with BCCI’s proposed financial model.

The Times of India report suggests that the ICC has not even applied for the said exemption to the Indian government. The ICC will have to share their revenue models, and every related paper with the Indian government to avail the exemption.

This is a joke, unless, there are individuals doing this to protect their own chairs after projecting financial surpluses that now cannot be justified,” a source told TOI.

The BCCI says that the ICC expects them to initiate the talks with the government and expects them to clear all the pending dues and taxes including that of 2016 World T20.

The source said that the worst case scenario would be ICC shifting the two mega events outside India and compensate their own losses of USD 100mn; things could get ugly between BCCI and ICC.

This time, the BCCI will not flinch in invoking its rights through the MPA. India’s losses in those newly proposed ICC revenues don’t mean a thing. The proposed loss is not even enough to make up for what the BCCI earns through a single bilateral or two (Star pays Rs 43 crore per match according to the present contract and the renewed one is expected to fetch more in the new bidding). To make up for the rest of the world, you can’t take a tournament of this magnitude away from India,” the source added

ICC’s latest decision to search for an alternative venue for both 2021 and 2023, however, has not gone down well with the Indian cricket board. India had hosted the 2016 World T20, but was denied a tax exemption by the Indian government.


By Jatin Sharma - 19 Feb, 2018

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