Reed NewsReed News

India Targets F1 Return Amid Government Promises, Doubts

SportsSports
India Targets F1 Return Amid Government Promises, Doubts
Key Points
  • F1 is considering a return to India after a decade-long absence, with government promises to address tax issues.
  • Previous races ended due to high costs and tax barriers when F1 was classified as entertainment rather than sport.
  • Conflicting statements exist on the timeline, with the government targeting 2027 but F1 denying that date and experts suggesting 2029-2030.

India hosted an F1 race for three years between 2011 and 2013, all won by Sebastian Vettel. The 2013 race at Buddh International Circuit was F1's last in India due to bureaucratic red tape making it economically unviable. The Uttar Pradesh state government at the time classified F1 as entertainment, not sport, leading to profit-eating taxes on the Grand Prix, and the circuit was paying around £25 million per year to F1 just for hosting rights, a cost it could not bear with the taxes.

India is seen as a key economic market for Formula 1 with a passionate fanbase, and there have been talks between F1 and the Indian government, but they are not close to an agreement. Sports minister Mansukh Mandaviya claimed there will be an F1 race in India in 2027, with the first race at Buddh International Circuit. He added that the government will work to remove tax barriers and help with tax relaxations to make the event viable for organizers, and it will also work on infrastructure and tax-related issues, including possible reimbursements if entertainment tax cannot be repealed.

However, an F1 spokesperson stated that Formula 1 will not be racing in India in 2027. Mandaviya noted that other tracks in Chennai and Hyderabad could be upgraded to host future races. Karun Chandhok, a former Indian F1 driver, believes 2027 is too soon and that 2029 or 2030 is the earliest realistic date for a return.

Tags
People & Organizations
Medium

Based on 2 sources

2sources
0Verified
4Open
No contradictions

Produced by Reed

India Targets F1 Return Amid Government Promises, Doubts | Reed News