The location of the two of the biggest ICC events- the 2021 Champions Trophy and the 2023 World Cup – is expected to change. India which was probable to host these two events may be losing this honour because of an ongoing tax issue.
Considerable culprit for this matter is not the BCCI but the government of India who are not agreeing to provide the tax exclusion to ICC. Fearing revenue losses of at least $100 million, on Friday, the ICC board instructed its management to look out for alternative venues, starting with the Champions Trophy, if the issue is not settled
The champions’ trophy event is however, three years away but the ICC is showing concern because of the experience of 2016 T20 World Cup which was hosted by India for which tax exemption has until now not been approved. ICC has undergone through a revenue shortfall of $20 to $30 because of the tax problem.
Regardless of BCCI’s efforts to expedite the ICC board remains cautious of holding the Champions Trophy 2021 matches at Indian home grounds because if the India government fall short to provide the tax release of Champions Trophy 2021 the loss could be huge varying from $100 to $125 million as per the ICC official’s calculations.
ICC has passed these remarks after the meeting held in Dubai “The Board expressed their concern around the absence of a 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 standard practice for major sporting events around the world”
“The Board agreed that ICC management, supported by the BCCI will continue the dialogue with the Indian Government but in the meantime directed ICC management to explore alternative host countries in a similar time zone for the ICC Champions Trophy 2021.”
ICC’s chief executive officer, David Richardson, and management have been asked to search for alternative venues in the same time zone as India is which brings the two Asian countries Sri Lanka and Bangladesh into the game. The verdict is still not yet decided. The substitute venue will be confirmed in the next 12-16 months. A final judgment on whether India will be able host the Champions Trophy will be taken by the end of the year 2019.