India News Get -BusinessIPL Auction 2025: Most expensive player, players list | Price tax details
10 franchises spent Rs 639.15 crore in the 2-day IPL mega auction in Jeddah, Saudi Arabia. 182 players were sold at auction, including 62 foreign players. Rishabh Pant became the most expensive player in history. He was bought by Lucknow Super Giants (LSG) for Rs 27 crore.
When players are auctioned, TDS is deducted from their bid amount. Here we show how much money the players who were auctioned in IPL will get compared to the auction money. How much money will go to the public treasury?
10% TDS on Indian players, 20% on foreigners The Indian government imposes a 10% tax on the salaries of Indian players. This tax is deducted by the IPL franchise in the form of Tax Deducted at Source (TDS) before making payment to the player. While a 20% tax is levied on the salary of foreign players.
For example, if an Indian player’s salary is Rs 10 crore, the franchise will deduct Rs 1 crore in tax before paying the player. Whereas if the salary of a foreign player is Rs 10 crore, then the franchise deducts tax of Rs 2 crore. The deducted TDS is deposited with the Government of India on behalf of the players.
The money received by Indian players from the IPL is added to their total income. The money that Indian players receive from the IPL team is taxable under the Income Tax Act, 1961. This amount is considered as income from other sources. This income is added to their total income and tax is deducted as per the slab while filing the income tax return. The TDS deducted is adjusted.
There are different rules regarding tax on money received by foreign players in IPL Foreign players present in India for more than 182 days in a financial year are subject to Indian income tax law. In such cases, the money received from IPL teams is added to their total income and taxed as per the tax slab.
Foreign players who are not present in India for more than 182 days in a financial year are not taxed on their entire income, as per Indian income tax laws. These cricketers are only liable to TDS under Section 194E of the Income Tax Act, 1961.
Rs 89.49 crore will go to public exchequer through IPL auctions The TDS deducted from IPL team owners is deposited with the Government of India on behalf of the players. In this auction, 10 franchises spent Rs 639.15 crore. In this, Rs 383.40 crore was spent on Indian players and Rs 255.75 crore was spent on foreign players.
As per 10% TDS, the total TDS of Indian players stands at Rs 38.34 crore. Whereas, according to 20% TDS of foreign players, it is Rs 51.15 crore. In other words, out of the amount given to the players in this auction, a total of Rs 89.49 crore will be deposited in the public exchequer.