ICC sends letter to all members seeking tax break guarantees for future events

The letter has been signed by ICC's chief executive Manu Sawhney and sent out on February 13.

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ICC Head Quarters. (Photo Source: ICC)

The International Cricket Council (ICC) has sent out a single page letter to all of its 92 associate members which are capable of bringing in a tsunami of problems and causing friction between the cricket world and its administration. Recently the ICC had released its schedule for upcoming events from 2023-2031 which are up for hosting rights.

The letter is aimed at the bigger boards like the BCCI, the ECB, the CA and other full-time members and basically asking them to get their respective governments to give them tax benefits for hosting ICC events in future and if they are not able to do so and provide central (federal) governments not provide certain guarantees or show potential for government investment, they will not be able to host any ICC events between 2023 and 2031 (the next rights cycle).

ICC aims to complete hosting rights by the fourth quarter of 2020

The letter has been signed by ICC’s chief executive Manu Sawhney and sent out on February 13. The letter heading read: “Hosting of ICC Events 2023 to 2031”. And Sawney wrote– “The Board agreed that the process of allocating the hosts for ICC Events should be open to all Members and commence immediately, with the aim being to complete the process to appoint hosts for the ICC Events for the period 2023 to 2031 by no later than the end of the fourth quarter of 2020″.

The letter comes with an appendix A attached which has a list of all the ICC events approved by the board between 2023 and 2031 and an ‘approved host model’. This model has a list of eight points on which approvals will be granted and the seventh and eight points state- Government guarantees provided during the process (before award); and Potential for government investment (cash & Value In-Kind).

“We will be seeking Expressions of Interest (EOI) from Members with the support from their governments to host events in accordance with the Board approved model for hosting ICC Events as set out in Appendix B,” Sawney’s letter further reads,

BCCI’s problems with this new model

The BCCI is already at odds with the ICC with the governing body asking India to bear the tax liabilities to the tune of Rs 150 crore (US$20.5 million) for conducting future ICC events. Chairman Shashank Manohar has even threatened to deduct the amount from BCCI’s global revenue share, including money still to be received for hosting ICC T20 World Cup 2020.

“What’s happening is utter madness. And India still doesn’t seem to be in a position to do much about it, because it has to first wait for the Supreme Court’s order. Manohar has already said that India will lose the 2023 WC if it doesn’t get tax exemptions. This is worrying because we all know what happens if things go that way,” a BCCI was quoted by the Times of India as saying.

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