Icc T20 Cricket
NBR rejects plea for ticket sales VAT exemption
Organisers of the International Cricket Council T20 World Cup will have to pay value-added tax on sales of tickets as the National Board of Revenue rejected an exemption plea of Bangladesh Cricket Board in this regard, officials of the revenue board said. The VAT wing of the NBR on Sunday issued a letter to the BCB rejecting their request for providing VAT exemption on sales of tickets, they said.
‘Informing the decision of the revenue board, we have already asked the BCB for depositing the VAT on sales of ticket to the government exchequer following due process,’ a high official of the NBR told New Age on Thursday.
The application was rejected as the organisers had already sold tickets at prices that included VAT, he said adding that the applicable VAT rate is 15 per cent.
Consumers have already paid the VAT along with the price of ticket, he said, adding that it will create complexities if exemption is now given.
On the other hand, the NBR did not give VAT exemption on sales of ticket of such events held in Bangladesh earlier, officials said.
BCB, however, are pursuing the government high-ups for obtaining the waiver, a high official of the NBR said.
But there is no scope to provide the facility as the NBR has issued its decision with approval of finance minister Abul Maal Abdul Muhith, he said.
Tickets are being sold through NCC Bank in Bangladesh, ICC’s website, ICC’s official tour and travel partners and match venues on match days.
Organisers fixed the prices of tickets starting at Tk 50 or $0.75 cent to Tk 2,000 or $ 28 per match while the prices of tickets for semi-final match have been set at Tk 100 to Tk 3,000 and for final mactch Tk 200 to Tk 4,000.
The revenue board has already provided exemption to the ICC, BCB, ICC Development International Limited, its local organizing committee, participant countries from paying income tax on their income from the tournament, they said.
Organisers are also exempted from paying duties on import of necessary equipments and goods and VAT on products and services to be used by tournament related people.
The revenue board also provided tax waiver on donations given to the BCB for organising the event.
The donation will have to be paid through payee cheques, officials of the income tax wing said.
They said that the NBR, however, may provide exemption to the organisers from paying income tax on income from sales of tickets.
-With New Age input
