Taxability of income of cricketers

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Arsha N S (Querist)
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30 December 2015 what is the tax treatment of Receipts by Cricketers Selected to play for India? for tests, one day and t20 matches?

Ankur Singhal

Ankur Singhal (Expert)
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30 December 2015 Dear
The cricketers are professional.
So their income from the BCCI is taxable under head income from business or Profession.
As BCCI has to deduct TDS u/s 194J on the same.
Also income from the advertisement is also income from profession as TDS is also deducted u/s 194J on the same.

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Arsha N S

Arsha N S (Querist)
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30 December 2015 Sir.. i have seen in a book that it will be taxable under income from other sources in the following way..
Taxability of Receipts by Cricketers Selected to play for India
1. Test Matches in India: Amount actually received by the player from the cricket control board is taxable after allowing a deduction of an amount equal to 75% of such receipts in respect of reasonable expenses incurred to earn such income.
2. Other matches in India: Generally the entire receipts by the player from the board will be deemed to have been spent for earning such income and hence not taxable.
3. Matches outside India: A player will be allowed a deduction of 50% of the amount received for playing in foreign countries and the balance will be taxable.
Please tell me whether it is correct or not?

Ankur Singhal

Ankur Singhal (Expert)
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30 December 2015 Dear Arsha
You refer to the fees received to play a match.

but have replied on the annual fees received from BCCI, in addition to the other fees.

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Arsha N S

Arsha N S (Querist)
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30 December 2015 Thank you sir.. thank you very much

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