IPL ticket prices will rise sharply as a new 40% GST on entertainment services comes into effect. The hike affects IPL, other leagues, concerts, and events, while recognized international sporting tournaments are expected to continue under 18% GST.
The tickets to watch the Indian Premier League matches, featuring top players from India and across the world, will get costlier after the Indian government implemented the new Goods and Services Tax (GST), raising the overall cost for fans attending the stadium. On Wednesday, Finance Minister Nirmala Sitharaman, who chaired the 56th GST Council meeting, approved the rationalisation of GST rates, which will come into effect from September 22.
In the GST Overhaul, the government abolished the tax slabs of 12 percent and 28 percent, leaving only the 5% and 18% rates. However, certain luxury items and sin goods, including high-end cars, tobacco products, and certain other items, will now attract 40 percent GST.
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However, the entertainment services, including the IPL, concerts, movie house, and other high-profile events, will now attract 40 percent GST on the tickets, making it significantly more expensive for fans.
The Indian Premier League is the biggest and extravagant sporting event not just in India but also across the world, and with the new 40% GST on tickets, fans will face a sharp rise in costs.
Fans to pay more to watch top stars in IPL
After the government announced the new GST structure, which will come into effect on September 22, fans will have to pay substantially higher prices to watch top stars like Virat Kohli, MS Dhoni, Rohit Sharma, and overseas cricket players in action at the Indian Premier League.
Until the last season of the IPL, GST on a single ticket was 28%, but under the new regime, the tax for the entertainment services, including IPL tickets, will surge to 40%, significantly increasing the cost for fans attending the matches at the stadiums. For example, if the IPL ticket for the general admission is INR 500, fans will have to pay INR 700 with 40% tax under the new regime.
Similarly, those who are buying premium or VIP tickets for the IPL matches, previously priced at INR 5000, will now have to pay INR 7000, reflecting the 40% GST hike, making the overall experience considerably more expensive for the fans.
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The 40% GST is not only restricted to the Indian Premier League, but other leagues, including the Pro Kabaddi League, Indian Super League, and high-profile sporting events, will also see ticket prices rise. The sporting leagues in India have been potentially categorised as high-end entertainment rather than sporting activity, subjecting them to the 40% GST slab, which significantly increases the cost for spectators to watch matches at the stadium.
Sporting events are unlikely to be impacted
While, Indian Premier League and sporting leagues are to be taxed with 40% GST on the tickets, making it more expensive for the fans, recognised sporting events are likely to maintain 18% GST. The International Cricket Council (ICC), and Asian Cricket Council (ACC), and the bilateral series in India, organized under the aegis of the Board of Control for Cricket in India (BCCI) or other recognized governing bodies, are expected to continue under the 18% GST slab.
With the Women’s ODI World Cup 2025 set to be hosted by India, the tickets for the matches are also expected to fall under the 18% GST slab, as the marquee event is officially sanctioned by the ICC and recognised as a major international sporting event. All the bilateral series in series, including the upcoming Test series against West Indies and South Africa, will also remain under the same tax slab.
International tournaments and bilateral series not only in cricket but across all sports, including hockey, chess, and football, will likely continue to attract 18% percent, as they are officially recognised by international or national governing bodies.