PIL against tax relief for Formula One

The Supreme Court has asked the UP government to explain why tax exemption has been granted to the company organising the Formula 1 Grand Prix. The event is scheduled to be held in Greater Noida on October 30.

A bench headed by Justice DK Jain also sought response from Jaypee Group, the organiser of the sporting event, following a public interest litigation which challenged the UP government's decision to grant tax exemption. The court asked the company to file it reply by Friday on why the event should be exempted from entertainment tax.

Jaypee Group Chairman Manoj Gaur said the company will respond to the SC notice and that the exemption was part of a UP government policy that applied to all entertainment events and not F1 alone.

"Formula 1 racing is an elitist and dangerous sport, there was no justification for the State Government of Uttar Pradesh to grant exemption from payment of entertainment tax to M/s Jaypee Sports International," the petition said. It alleged that the company was politically well-connected to the Mayawati-led government, due to which it has been granted tax exemption.

"Because the aforesaid exemption from the payment of entertainment tax has been granted to the said private respondent purely because it is well known that the company is very close to the political leadership and the ruling government in the state" the PIL alleged. The exemption helped the company gain crores of rupees, "all at the cost of the exchequer and the tax-paying citizen of this country," the petition alleged.

According to the PIL, "Formula-1 racing sport has not connection with the general populace at the grassroots level and panders to the tastes of the very rich and the social and financial elite and therefore the grant of exemption from the payment of entertainment tax was not warranted in the facts of the case".
source: economictimes.indiatimes.com

2011 FIA Formula One World Championship Race Calendar

01  FORMULA 1 BAHRAIN GRAND PRIX (Sakhir) * 11 - 13 Mar 02  FORMULA 1 AUSTRALIAN GRAND PRIX (Melbourne) * 24 - 27 Mar 03  FORMULA 1 MALAYSIAN GRAND PRIX (Kuala Lumpur) * 08 - 10 Apr 04  FORMULA 1 CHINESE GRAND PRIX (Shanghai) * 15 - 17Apr 05  FORMULA 1 TURKISH GRAND PRIX (Istanbul)* 15 - 17Apr 06  FORMULA 1 GRAN PREMIO DE ESPANA  (Catalunya) * 20 - 22 May 07  FORMULA 1 GRAND PRIX DE MONACO  (Monte Carlo) * 26 - 29 May 08  FORMULA 1 GRAND PRIX DU CANADA (Montreal) * 10 - 12 Jun 09  FORMULA 1 GRAND PRIX OF EUROPE (Valencia) * 24 - 26 Jun 10  FORMULA 1 BRITISH GRAND PRIX (Donington Park) * 08 - 10 Jul 11  FORMULA 1 GERMANY ((Nrburgring)) * 22 - 24 Jul 12  FORMULA 1 HUNGARY  (Budapest) * 29 - 31 Jul 13  FORMULA 1 BELGIAN GRAND PRIX (Spa-Francorchamps) * 26 - 28 Aug 14  FORMULA 1 GRAN PREMIO D'ITALIA (Monza) * 09 - 11 Sep 15  FORMULA 1 SINGAPORE GRAND PRIX (Singapore) * 23 - 25 Sep 16  FORMULA 1 JAPANESE GRAND PRIX (Suzuka) * 07 - 09 Oct 17  FORMULA 1 KOREAN GRAND PRIX (Korea) * 14 - 16 Oct 18  FORMULA 1 INDIA * - Subject to circuit approval 28 - 30 Oct 19  FORMULA 1 ABU DHABI GRAND PRIX (Yas Marina Circuit) * 11 - 13 Nov 19  FORMULA 1 GRANDE PREMIO DO BRASIL (Sao Paulo) * 25 - 27 Nov

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