The Income Tax Department has slapped a notice of Rs. 14.36 crore on the Hyderabad Cricket Association (HCA) for the assessment years 2010-11 (Rs 7.75 crore) and 2009-2010 (Rs. 6.61 crore).
This was disclosed by G. Vinod, HCA president, in a letter circulated to representatives of all the 220-plus clubs.
“We have gone in for appeal with a request to reassess the demand and review the exemptions denied to HCA. We did express our inability to pay such a huge amount and that we do not have funds to even pay the amount for the appeal,” the HCA chief informed the members.
Interestingly, HCA did end up in paying Rs. 1 crore as the initial amount to overcome the crisis after the Deputy Commissioner (IT) agreed to extend the instalment facility to pay the same.
The members were also informed in the letter (copy of which is available with The Hindu) that the total annual subsidy received from the BCCI from July 2012 was Rs. 17 crore and all details will be shared at the annual general meeting later this month.
Mr. Vinod also revealed that the Defence Estate Officer (AP Circle) sent a letter calling asking the HCA to vacate and hand over the vacant land at Gymkhana citing that the lease deed that was executed in 2010 was not in accordance with their regulations.
“As we did not get any response to maintain the status quo, we approached the Andhra Pradesh High Court and obtained a stay order restraining the defence authorities from taking any action on Gymkhana Grounds till further orders,” he said.
The HCA president also informed the members that in view of the IPL matches ending only on May 19, there had been a delay in preparations for the AGM scheduled to be held on the last Sunday of May.
“As the accounts audit is in the final stages, the auditor’s report will have to be first presented to the EC, hence the AGM will be held next month,” he said.