The Indian cricket team is furious after they learned the Australian Tax Office will collect up to $A1.5m (₤644,000) from their players’ match payments and tour fees.
India’s taxation authorities does not tax such payments because they treat the players as amateurs and tax only their sponsorship deals in India. But all entertainers and sportspeople who work in Australia have been taxed on their earnings since July 2004.
The tax slug comes six days before the start of the tour, the Boxing Day Test at the Melbourne Cricket Ground. The last time the Indian cricket team toured in the southern hemisphere was summer of 2003-04, before the rules applied.
The Indian team's media manager, MK Shridhar, told News Limited’s Sydney
paper, The Daily Telegraph, the sport's Indian governing body, the
Board of Control for Cricket in India (BCCI), is looking at ways to get around
the tax problem.
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