How much money does the government earn from IPL? Know everything
How much money does the government earn from IPL? Despite IPL being tax-free, the Government of India fills its treasury with crores of rupees from this tournament. In fact, every year the government earns a bumper income from the mega auction held for IPL. This income is earned through TDS deducted from the salary of the players. If we talk about the IPL 2025 mega auction, then Rs 89.49 crore came to the treasury of the Government of India.
How much TDS is deducted
In the mega auction of IPL 2025, 10 teams spent a total of Rs 639.15 crore to buy players. In this, 120 Indian players and 62 foreign players were sold. 10 teams spent Rs 383.40 crore in bidding for Indian players and Rs 255.75 crore on foreign players. According to reports, 10 percent TDS is deducted on the IPL salary of Indian players and 20 percent on foreign players. According to this, the Government of India had a profit of Rs 89.49 crore from this.
BCCI will not pay even a single penny tax on the billions earned from IPL! Know why
Is there a tax on IPL?
BCCI will not pay a single tax– The truth is that BCCI does not have to pay any tax on the thousands of crores of rupees earned from IPL. In 2025, BCCI had demanded in its appeal that even though it is earning a lot of money through IPL, its objective of promoting cricket remains intact, hence this league should be declared tax-free. This appeal was upheld by the Income Tax Appellate Tribunal (ITAT).
Therefore, as long as BCCI is using the profits from IPL to promote cricket, the Indian Premier League will be tax-free as per law. But as far as the earnings of players from IPL are concerned, tax is levied on it.
Why is there no tax on IPL?
In 2016-2017, the Revenue Department sent three show cause notices to BCCI. In this notice, BCCI was asked why it should not pay tax on IPL earnings under Section 12A of the Income Tax Act? In this regard, the Board of Control for Cricket in India had approached the Mumbai bench of ITAT. According to reports at that time, ITAT had rejected the Revenue Department’s application and ruled in favor of BCCI.
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