EXPLAINED: Why Watching IPL Live Has Become More Expensive After Latest GST Reforms
Photo : AP
The Goods and Services Tax (GST) Council, in its 56th meeting that lasted over 10 hours on September 3 (Wednesday), cleared a set of massive reforms under the eight-year-old indirect tax regime. Union Finance Minister Nirmala Sitharaman, who chaired the meeting attended by ministers from 31 states and Union Territories, said the changes will come into effect from September 22, the first day of Navratri, except for those relating to tobacco and tobacco products. While many items have reduced in price, IPL fans might be a little worried as these reforms are set to make the experience of watching a match live more expensive.
Why IPL Tickets Are Set To Become Expensive?
The Government of India has increased the GST on IPL ticket rates from 28 to 40 percent. This is because the new tax reforms have viewed IPL as a luxury product alongside tobacco products and betting services. The new slab for such events was finalised after hours of discussion in the Council, which was meeting for the first time since the presentation of the Union Budget.
This means a Rs 1000 ticket, which earlier cost Rs 1280 after adding GST, will now cost Rs 1400. A Rs 500 ticket will now coast Rs 700 after adding GST, while a Rs 2000 ticket will cost Rs 2800. A Rs 1500 ticket, which earlier came to Rs 1920, will now cost Rs 2100, while a Rs 2500 ticket will now go up from Rs 3200 to Rs 3500. For fans booking in bulk or families attending together, the total increase could add up quickly.
However, this increase applies only to the IPL and other high-end sporting events. For regular matches, be it international or domestic, the tax rate remains 18% as earlier.