logo
New Delhi
New Cars
New Bikes
Used Cars
Go Green with EV
News & Reviews
Trending on c&b
Sell Your Car
Scrap Your Car
Pre Delivery Inspection

Registered Office

ADDRESS
Mahindra First Choice Wheels Limited, 602, 6th Floor, Tower - B, Embassy 247, LBS Road, Vikhroli (West), Mumbai - 400083
CONTACT
+91 9606045096
EMAIL
contact@carandbike.com

Who We Are

About UsMerger Scheme CopyNCLT OrderInvestor RelationsTerms and ConditionsPrivacy Policy

Follow Us On

car&bike Youtubecar&bike Twittercar&bike Facebookcar&bike LinkedIn
© Mahindra First Choice Wheels Limited 2025. All rights reserved.

Our Offerings

  • New Cars
  • Electric Cars
  • Electric Scooters
  • Used Cars
  • Compare
  • Sell My Car

News & Reviews

  • Latest News
  • Car News
  • Bike News
  • Comparison Reviews
  • Trending News
  • Videos
  • Knowledge Center

Popular Car Brands

  • Maruti Suzuki
  • Tata
  • Hyundai
  • Honda
  • Mahindra
  • Kia

Popular Car Models

  • Tata Curvv
  • Kia Seltos
  • Hyundai Verna
  • Mahindra Thar
  • Maruti Suzuki Ertiga

Popular Bike Brands

  • Royal Enfield
  • Hero
  • Yamaha
  • Jawa
  • Honda
  • Bajaj

Popular Bike Models

  • Yamaha MT 15
  • Royal Enfield Hunter 350
  • Continental GT 650
  • Bajaj Pulsar 150
  • Honda SP 125
  • Latest News
  • Latest Reviews
  • Car News
  • Bike News
  • Car Reviews
  • Motorsport
  • Bike Reviews
  • Electric

Supreme Court Orders Taxes On Formula 1 For Indian Grand Prix

In a big blow to Formula One's future prospects in India, the Supreme Court has ruled that the Formula 1 World Championship Limited (FOWC) has a permanent establishment in India and as such income accruing from it is taxable.
Sameer Contractor
Sameer Contractor
1 min read
2017-04-26 19:58:47
Follow us on
Supreme Court Orders Taxes On Formula 1 For Indian Grand Prix
Key Highlights
  • SC: Since F1 has a 'permanent establishment', it need to be taxed
  • SC: F1 Symbols and logos used at BIC will be treated as business income
  • Originally a 5-race contract, BIC only held 3 F1 races between 2011-2013
In a big blow to Formula One's future prospects in India, the Supreme Court has ruled that the Formula 1 World Championship Limited (FOWC) has a permanent establishment in India and as such income accruing from it is taxable. The long standing case saw the country's apex court uphold the Delhi High Court's decision to tax three Formula 1 races that were held between 2011 and 2013.

The court stated that the Buddh International Circuit (BIC), which is owned by Jaypee Group, served as a 'permanent establishment' for conducting business by Formula 1. As per the norms, a permanent establishment (PE) is a fixed place of business, which gives rise to income or value-added tax liability in a particular jurisdiction.

The Supreme Court bench comprising Justices AK Sikri and Ashok Bhushan said, "We have held that FOWC has PE in India and income that is attributable in India will be taxed. The amount that is to be taxed is to be assessed by an assessing officer."

While the amount to be paid in taxes is yet to be assessed, the tax will be levied at a rate of 40 per cent of the total business income. In addition, there will be additional interest that will be imposed over and above it. The Supreme Court verdict also stated that payments made by Jaypee Group to Formula One management for the use of symbols and logos will also be treated as business income and not royalty and hence, will be taxed as well. The court said that such symbols were used for hosting an event and not for intellectual property purposes.

The very ambitious BIC was built by Jaypee Group, which signed a five-year contract with F1 management to host a total of five races between 2011 and 2015. However, due to bureaucratic issues and heavy taxation on F1 teams and management, BIC was pulled off the F1 calendar after conducting races in 2011, 2012 and 2013. If that's not all, more recently the Delhi government also wanted to add an entertainment tax for hosting F1 races at the BIC, which only added to the overburdened motorsport event. Clearly, this isn't the news Formula 1 fans were looking forward to in India.

# Formula 1# Buddh International circuit# Delhi High court# F1 2017# BIC Racetrack# Formula One Taxes India# Formula 1 India# Supreme Court F1 Taxes# Motorsport

Related News

Mahindra To Rename Electric SUV ‘BE 6’; Will ‘Strongly Contest' IndiGo Lawsuit
5 mins read
Mahindra To Rename Electric SUV ‘BE 6’; Will ‘Strongly Contest' IndiGo Lawsuit
F1: Haas Signs MoneyGram As Title Sponsor For 2023 & Beyond
2 mins read
F1: Haas Signs MoneyGram As Title Sponsor For 2023 & Beyond
F1: Lance Stroll Extends Contract With Aston Martin Racing
2 mins read
F1: Lance Stroll Extends Contract With Aston Martin Racing
FIA Lowers Minimum F1 Superlicence Age To 17
1 min read
FIA Lowers Minimum F1 Superlicence Age To 17
FIA Unveils 2026 Formula 1 Regulations: Lighter Cars, Advanced Power Units, and Enhanced Safety
3 mins read
FIA Unveils 2026 Formula 1 Regulations: Lighter Cars, Advanced Power Units, and Enhanced Safety

Latest Cars

  • Skoda Octavia RS
    Skoda
    Octavia RS
    Ex-showroom Price
    ₹ 49.99 Lakh
  • Maserati MCPura
    Maserati
    MCPura
    Ex-showroom Price
    ₹ 4.12 - 5.12 Crore
  • Mahindra Bolero Neo
    Mahindra
    Bolero Neo
    Ex-showroom Price
    ₹ 8.49 - 9.99 Lakh
  • Mahindra Bolero
    Mahindra
    Bolero
    Ex-showroom Price
    ₹ 7.99 - 9.69 Lakh
  • Mahindra Thar
    Mahindra
    Thar
    Ex-showroom Price
    ₹ 9.99 - 16.99 Lakh
  • Citroen Aircross X
    Citroen
    Aircross X
    Ex-showroom Price
    ₹ 8.29 - 13.69 Lakh
  • Maruti Suzuki Victoris
    Maruti Suzuki
    Victoris
    Ex-showroom Price
    ₹ 11.93 - 23.19 Lakh
  • VinFast VF7
    VinFast
    VF7
    Ex-showroom Price
    ₹ 24.23 - 29.57 Lakh
  • VinFast VF6
    VinFast
    VF6
    Ex-showroom Price
    ₹ 19.13 - 21.22 Lakh
  • Citroen Basalt X
    Citroen
    Basalt X
    Ex-showroom Price
    ₹ 7.95 - 13.11 Lakh
Explore Other Topics
Trending NewsCar NewsElectric Car NewsBike NewsComparisonsMotorsportsUpcoming Car News

Trending News

  • 2025 India Bike Week Rescheduled: New Dates To Be Announced Soon
    2 mins read
    2025 India Bike Week Rescheduled: New Dates To Be Announced Soon
  • Skoda Octavia RS Launched In India At Rs 49.99 Lakh
    2 mins read
    Skoda Octavia RS Launched In India At Rs 49.99 Lakh
  • Toyota Urban Cruiser Hyryder Aero Edition Launched; Offers Accessory Kit For All Variants
    1 min read
    Toyota Urban Cruiser Hyryder Aero Edition Launched; Offers Accessory Kit For All Variants
  • Kia Carens Clavis EV Line-Up Expanded To 6 Variants; New HTX E & HTX E (ER) Trims Added
    1 min read
    Kia Carens Clavis EV Line-Up Expanded To 6 Variants; New HTX E & HTX E (ER) Trims Added
  • Nissan Magnite AMT Launched With CNG Kit, Prices Start At Rs. 6.88 lakh
    2 mins read
    Nissan Magnite AMT Launched With CNG Kit, Prices Start At Rs. 6.88 lakh
  • Tata Nexon With ADAS And New Red Dark Edition Launched In India
    2 mins read
    Tata Nexon With ADAS And New Red Dark Edition Launched In India
  • TVS Apache RTX: In Pictures
    3 mins read
    TVS Apache RTX: In Pictures
  • Triumph Speed Triple RX Launched at Rs 23.07 Lakh; Only 5 Units Allotted for India
    1 min read
    Triumph Speed Triple RX Launched at Rs 23.07 Lakh; Only 5 Units Allotted for India
  • Hyundai Confirms Next-Gen Android-Based OS For Future Cars In India
    1 min read
    Hyundai Confirms Next-Gen Android-Based OS For Future Cars In India

Latest News

  • NewsNews
  • Expert ReviewExpert Review
View All
  • 2025 India Bike Week Rescheduled: New Dates To Be Announced Soon
    car&bike Team | Oct 17, 2025
    2025 India Bike Week Rescheduled: New Dates To Be Announced Soon
    The 2025 edition of IBW, earlier planned for December 12-13, will now be held on new dates to be announced in the coming days.
    2 mins
  • Skoda Octavia RS Launched In India At Rs 49.99 Lakh
    Jafar Rizvi | Oct 17, 2025
    Skoda Octavia RS Launched In India At Rs 49.99 Lakh
    The Octavia RS made its debut in India at the Auto Expo 2025, with all 100 units of the allotment sold.
    2 mins
  • Toyota Urban Cruiser Hyryder Aero Edition Launched; Offers Accessory Kit For All Variants
    car&bike Team | Oct 16, 2025
    Toyota Urban Cruiser Hyryder Aero Edition Launched; Offers Accessory Kit For All Variants
    The exclusive styling package accessories are available at an additional cost of Rs 31,999 and will be offered across all Toyota dealerships nationwide.
    1 min
  • Kia Carens Clavis EV Line-Up Expanded To 6 Variants; New HTX E & HTX E (ER) Trims Added
    car&bike Team | Oct 16, 2025
    Kia Carens Clavis EV Line-Up Expanded To 6 Variants; New HTX E & HTX E (ER) Trims Added
    The new variants of the Carens Clavis EV essentially offer value-added trims that borrow some premium features from higher-spec trims.
    1 min
  • Nissan Magnite AMT Launched With CNG Kit, Prices Start At Rs. 6.88 lakh
    Shams Raza Naqvi | Oct 16, 2025
    Nissan Magnite AMT Launched With CNG Kit, Prices Start At Rs. 6.88 lakh
    After introducing CNG with manual transmission options, the Japanese carmaker is now also offering the same with AMT variants of the SUV
    2 mins
  • Tata Nexon With ADAS And New Red Dark Edition Launched In India
    Bilal Firfiray | Oct 16, 2025
    Tata Nexon With ADAS And New Red Dark Edition Launched In India
    Tata Nexon becomes India’s top-selling car in September 2025. To mark the occasion, Tata has added ADAS in the line-up and launched the new Red Dark Edition across petrol, diesel, and CNG variants, starting at Rs 12.44 lakh.
    2 mins
  • Eurogrip Tread Talks 2025: Tyre Tales
    Janak Sorap | Oct 17, 2025
    Eurogrip Tread Talks 2025: Tyre Tales
    A factory tour on what goes into making two-wheeler tyres at Eurogrip’s Madurai plant, followed by a scenic ride to Kodaikanal.
    1 min
  • Royal Enfield Guerrilla 450 Vs Bajaj Dominar 400 Comparison Review
    Preetam Bora | Oct 10, 2025
    Royal Enfield Guerrilla 450 Vs Bajaj Dominar 400 Comparison Review
    Roadster or sport tourer? And to answer that question we have the Royal Enfield Guerrilla 450 in a head-to-head comparison with the 2025 Bajaj Dominar 400.
    1 min
  • Tata Harrier EV Road Test: Big, Bold, and Brilliantly Electric
    Bilal Firfiray | Oct 8, 2025
    Tata Harrier EV Road Test: Big, Bold, and Brilliantly Electric
    We test the new Tata Harrier EV to find out how far it can really go. Real-world range, driving impressions, features, verdict, and everything else. We got you covered.
    5 mins
  • Porsche Macan EV Review: Sharper, Faster, More Serious
    Bilal Firfiray | Oct 3, 2025
    Porsche Macan EV Review: Sharper, Faster, More Serious
    When it comes to making EVs, Porsche knows a thing or two. So when the Macan EV become electric-only in its second-gen, how much of the iconic Porsche DNA does it retain?
    6 mins
  • Honda CB 125 Hornet Review: Gunning For Gold!
    Preetam Bora | Oct 1, 2025
    Honda CB 125 Hornet Review: Gunning For Gold!
    Is the Honda CB 125 Hornet just a flashy commuter or a serious contender for the top spot in the segment? We spent a few days with the new CB 125 Hornet to find out.
    6 mins
  • Home
  • News
  • Motorsport
  • Supreme Court Orders Taxes On Formula 1 For Indian Grand Prix