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| IPL Shift and What it Means for the Franchises |
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| Pitched By Cricket360 Analyst | |||||||
| Thursday, 26 March 2009 | |||||||
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As the Indian Premier League Franchises are confronted with a change in venue for this year’s IPL, they are gearing up to finalise logistics and expenditure in a bid to make this years’ event bigger and better as has been promised. Meanwhile another agency that is keeping a sharp eye out for the IPL and revenues generated by it for the BCCI and the teams and Franchises is the Income Tax department, who will be watching keenly to see how to tax income generated oversees.
Now that IPL Season 2 has shifted to South Africa, Cricket South Africa will assist the IPL in the ticketing process for Indian Premier League. For this the Franchises also get a share of the pie. The Indian income tax department is keen to see how the revenue sharing will pan out since there is the matter of taxing income that is generated abroad. Although cricket news reports had estimated that the income from IPL Season 2 would be in the region of Rs 700 crore there are now likely to be losses due to the shift of venue from India to South Africa. (Read Cricket360 related article "Change of Venue Adds to the Cost of Franchises") Consequently, there will be lower amounts to be made by the income tax authorities. There is also the expectation that additional revenue of around Rs. 90 crore may be generated for the teams. Reportedly for those cricket fans who decide to travel to the African country for the IPL visas etc will be no problem. “Getting visas will not be a problem as the South African government has already declared to roll out a red carpet welcome to the event. It remains to be seen how much we can gain out of this event,” one of the owner was quoted in the cricket news as having said. While one of the worries was the pitches in South Africa which would be worn out by the end of the season, this was not seen as a worry for the teams. According to one team official, ‘‘we know that the pitches will offer everything for everyone. There will be fours and sixes, the fast bowlers will get some bounce and pace from the pitch and even the spinners will get some purchase.’’ So as of now the preparations for holding international cricket’s mega ‘domestic’ event in a foreign country are on in full swing, and after weeks of uncertainly and speculations of will-we-won’t-we have the Indian Premier League, the players , the Franchises and the fans all know what to expect. And as one of the Franchises said, “We will be back in India next year for sure. Hopefully, there won’t be another general elections!” Amen to that!
3.25 Copyright (C) 2007 Alain Georgette / Copyright (C) 2006 Frantisek Hliva. All rights reserved."Newer news items:
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