Home > News >

Revenue Department withdraws tax exemption of 4 cricket associations

The Comptroller and Auditor General in its report tabled in Parliament last month had slammed the I-T Department for extending irregular exemptions to the four cricket affiliates of BCCI © Getty Images (Representational Photo)
The Comptroller and Auditor General in its report tabled in Parliament last month had slammed the I-T Department for extending irregular exemptions to the four cricket affiliates of BCCI © Getty Images (Representational Photo)

New Delhi: Jan 9, 2014

Revenue Department on Wednesday withdrew tax benefit of four cricket bodies — Saurashtra Cricket Association, Baroda Cricket Association, Kerala Cricket Association and Maharashtra Cricket Association — for engaging in certain commercial activities.

The Central Board of Direct Taxes (CBDT) said the Income Tax authorities have looked into the affairs of these four cricket associations and found that they were engaged in certain activities which were considered commercial in nature in view of the amended provisions of Sec 2(15) of the Income Tax Act.

“Consequently, the scrutiny of assessments in these cases has resulted into the withdrawal of tax-exemption,” the CBDT said.

Past assessments in these cases, it added, have also been reopened by the revenue department to examine the correctness of their claim for income tax exemption during the periods concerned.

The Comptroller and Auditor General (CAG) in its report tabled in Parliament last month had slammed the I-T Department for extending irregular exemptions to the four cricket affiliates of BCCI, resulting in short-levy of tax of over Rs 37 crore.

The CAG said the I-T Department allowed irregular exemptions on income from TV rights given to four associations engaged in commercial activity.

The CAG said under Section 2 (15) of the Income Tax Act, a public utility activity cannot be treated as “charitable” if it involves carrying out of any activity in the nature of trade, commerce or business.

India tour of Australia 2014, Practice matches

Nov 24, 2014 (05:29 IST)   at Glenelg, Adelaide

Pakistan vs New Zealand in UAE, 2014

Nov 26, 2014 (11:30 IST)   at Sharjah

England tour of Sri Lanka, 2014

Nov 26, 2014 (14:30 IST)   at Colombo

Zimbabwe tour of Bangladesh, 2014

Nov 26, 2014 (12:00 IST)   at Dhaka

India tour of Australia 2014, Practice matches

Nov 28, 2014 (05:29 IST)   at Adelaide

More

Hong Kong tour of Sri Lanka, 2014

Nov 24, 2014  at Colombo

Hong Kong won by 2 wkts

Zimbabwe tour of Bangladesh, 2014

Nov 23, 2014  at Chittagong

Bangladesh won by 68 runs

South Africa tour of Australia, 2014

Nov 23, 2014  at Sydney

Australia won by 2 wickets (D/L method)

Hong Kong tour of Sri Lanka, 2014

Nov 22, 2014  at Dambulla

Match abandoned without a ball being bowled

Hong Kong tour of Sri Lanka, 2014

Nov 21, 2014  at Dambulla

Match abandoned without a ball being bowled

Photos

Phil Hughes suffers head injury: In photos

Videos

AB de Villiers: Disappointed with defeat in Australia

Phil Hughes suffers head injury: In photos

Phil Hughes injury: Indian team sends its best wishes

India’s bowling performance on Day One of tour of Australia is a promising sign

India tour of Australia 2014-15: Can India afford such a rigorous tour just ahead of ICC World Cup 2015?

Cheteshwar Pujara faces crucial series in Australia following England nightmare

Australia Australia vs South Africa Australia vs South Africa 2014 Bangladesh Bangladesh vs Zimbabwe Bangladesh vs Zimbabwe 2014 India India tour of Australia 2014-15 South Africa South Africa tour of Australia 2014 South Africa vs Australia South Africa vs Australia 2014 Zimbabwe Zimbabwe tour of Bangladesh 2014 Zimbabwe vs Bangladesh Zimbabwe vs Bangladesh 2014

Phillip Hughes injury: Current round of Sheffield Shield called off

Phillip Hughes to have more scans after surgery

Sachin Tendulkar to meet Sports Minister to discuss Sarita Devi ban

Sourav Ganguly: Fights and controversies are a part of sport

Sachin Tendulkar’s ‘Playing It My Way’ launches in Delhi

Pakistan vs New Zealand 2014: New Zealand’s inspired performance in 2nd Test serves important lesson to non-Asian countries

Don Bradman vs Clarrie Grimmett — how did The Don fare against the craftiest leggie of his era

Vijay Hazare Trophy 2014-15: Top 5 performances of the tournament

Manish Pandey, Mayank Agarwal and other uncapped players who impressed in Vijay Hazare Trophy 2014-15

Karnataka’s team spirit is their secret to phenomenal success in recent times

Fan of the Day

Niharika Shah

Niharika Shah

682 Posts | 6 Fans

Video: Phil Hughes suffers head injury, collapses on field during New South Wales vs South Australia tie

Watch Free Live Streaming & Telecast of Indian Super League (ISL) 2014 Football 37th Match between Kerala Blasters FC vs Atletico de Kolkata

PK Tharki Chokro making: Rancho aka Aamir Khan and Munna Bhai aka Sanjay Dutt shake legs to this folk number

Simbu-Hansika’s Vaalu slated for Christmas release!

Yeh Hai Mohabbatein: Will Raman and Ishita help Mihika with her plans?

Alibaba to launch its Taobao marketplace in international markets: Reuters

8 reasons to add rosemary to your diet

eBay India ‘Black Friday’ sale kicks off today

How many calories do bananas have?

Also on cricketcountry.com

Play Fantasy Cricket & Win

Cash Daily! Click here