Indian government amends tax laws to lure F1 back
© Sahara Force India F1 Team
|9 January 2014 by TF1T Staff | M||Tweet
The Indian government has taken steps to lure Formula 1 back to the country after the race was dropped from the 2014 calendar.
One of the main sticking points, which has caused a great deal of hassle to the teams, was the governments view on F1, which it doesn't deem a sport and is therefore liable to pay import tax on any equipment it brings into the country.
Despite numerous calls to change the law, it remained in place. However the Directorate General of Foreign Trade (DGFT) has now amended the policy relating to the 'importation of cars and motorcycles for use in motor racing events'.
The change allows vehicles and equipment to be imported for a maximum of 30 days, after that time they must be exported. A bond must be paid, but this will be returned after those 30 days.
The imported vehicles can not be used on public roads, cannot be sold in India and are not allowed to be "engaged in any sort of commercial activities".
The change is part of an attempt to lure F1 back to the Buddh International Circuit which held three events before being dropped from the calendar.