GST Rates: Six months after the implementation of the GST rate from October 1, the GST Council will review the GST recovery on online gaming casinos.
GST Council Meeting: The decision to levy 28 percent GST on online gaming, horse racing and casinos will not be withdrawn. From October 1, 2023, the decision of 28 percent on online gaming, horse racing and casino will be implemented. And six months after this date, the GST Council will review the tax imposed.
The 51st GST Council meeting was held under the chairmanship of Finance Minister Nirmala Sitharaman through video conferencing. After the meeting, the Finance Minister informed about the decision taken in the council meeting. The Finance Minister told that Delhi, Goa, Sikkim demanded a review of the decision to bring online gaming under 28 percent GST. He said that after 6 months the GST Council’s decision to levy 28 percent GST on online gaming, casino, horse racing will be reviewed.
👉 Recommendations of 51st GST Council Meeting
👉 GST Council recommends certain amendments in CGST Act 2017 and IGST Act 2017, including amendment in Schedule III of CGST Act, 2017, to provide clarity on taxation of supplies in casinos, horse racing and online gaming
👉 GST… pic.twitter.com/iqsEBhUUoK
— Ministry of Finance (@FinMinIndia) August 2, 2023
On July 11, 2023, the GST Council, in its 50th meeting, approved a proposal to levy 28 per cent GST on online gaming, horse racing and casinos. 28% GST will be levied on the full value of betting in online gaming, casino and horse racing. After this decision, the tax officials of the Center and the states have prepared draft rules related to tax collection. The Finance Minister said that the proposal to amend the Central GST Act will be presented in the Parliament in the monsoon session itself.
The Finance Minister said that the decision to collect 28 percent GST will be taken at the entry level and not on the amount to be won. The Finance Minister clarified that the council is firm on its decision to collect GST on face value. Earlier, the All India Gaming Federation, which has leading online gaming companies, had termed this decision of the GST Council as unconstitutional.
