How the BCCI, Cricket’s Richest Board, Files Its Taxes (and Pays Zero Income Tax)
The Board of Control for Cricket in India (BCCI) is a financial powerhouse, generating billions in revenue, largely driven by the Indian Premier League (IPL). Yet, despite its enormous earnings, the BCCI pays no income tax. This unique financial model is possible because it operates as a charitable organization under India’s Income Tax Act.
The Source of BCCI’s Billions
In fiscal year 2024, the BCCI’s revenue soared to an audited ₹9,741.71 crore. This staggering figure is primarily fueled by a few key streams:
- IPL: The biggest contributor by far, the IPL accounted for 59% of the board’s revenue, bringing in ₹5,761 crore. This is a direct result of the record-breaking ₹48,390 crore media rights deal signed in 2022.
- ICC Distributions: The BCCI received ₹1,042.35 crore from the International Cricket Council.
- Other Income: This category, which includes a significant ₹986.45 crore from interest, added ₹1,377.96 crore to the coffers.
- Other key sources: Non-IPL media rights, the Women’s Premier League (WPL), and matches featuring the Indian men’s team also contribute hundreds of crores each.
Why the BCCI Pays Zero Income Tax
The secret to the BCCI’s tax-exempt status lies in its legal structure. It is registered under the Tamil Nadu Societies Registration Act, 1975, with the core mission of “promoting and developing cricket in India.” Under Section 12AA of the Income Tax Act, this mission qualifies it as a charitable organization.
As long as the board reinvests its surplus income back into cricket development—from grassroots programs to building infrastructure—it maintains its tax-free status. This model allows the BCCI to function like a multi-billion-dollar corporation while being taxed like a non-profit. This status was reaffirmed by the Income Tax Appellate Tribunal in 2021.
How Cricket’s Cash Machine Still Contributes to the Government
While the BCCI enjoys income tax exemption, the government still earns significant revenue from cricket-related activities.
- GST: The board pays Goods and Services Tax (GST) on its commercial earnings, particularly from the IPL. Between 2022-23 and 2023-24, the BCCI deposited over ₹2,038.55 crore in GST.
- TDS on Player Salaries: The government collects a substantial amount through Tax Deducted at Source (TDS) on player earnings. The rates are:
- 10% for Indian players.
- 20% for foreign players.
For instance, the IPL 2025 mega auction alone, where franchises spent ₹639.15 crore on players, resulted in a TDS collection of ₹89.49 crore. This ensures that while the league itself is income tax-exempt, the individual incomes it generates are fully taxed.
In essence, the BCCI’s financial model is unmatched in the world of sports. It leverages diverse revenue streams while maintaining a tax-exempt status that allows it to reinvest its vast wealth back into the game, all while still contributing to government coffers through other taxes.