GST collections see 8.9 pc YoY growth at Rs 1.87 lakh crore in October
It is the eighth consecutive month when GST collections stayed above the Rs 1.7 lakh crore mark.
The Good and Services Tax (GST) authorities have served notices worth Rs 1 lakh crore to online gaming companies, according news agency ANI citing sources. The Centre has said that there should be at 28 per cent GST on online gaming industry starting from October 1 even as the industry has raised concerns on the applicable GST Rates.
Earlier in August this year, the all-powerful GST Council had amended the law and asserted that all online games, involving bets would be subject to 28 per cent GST rate regardless of skill or chance. The 28 per cent GST, according to the amended GST council law, will be applicable on the full value of the bets placed, effective from October 1.
The Central Board of Indirect Taxes and Customs (CBIC) Chairman, Sanjay Agarwal, announced India’s preparedness to implement this 28 per cent GST rate on online gaming, following consensus among all Indian states. However, the online gaming industry opposed the 28 per cent GST
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The valuation of online gaming and actionable claims in casinos will be based on the amount paid or payable to the supplier, excluding previous winnings, ensuring a consistent and clear approach to taxation.
India’s endeavor to tax online gaming falls within the broader efforts to bring various sectors under the GST framework, ultimately aiming to streamline tax collections and clarify tax rates for these growing industries.
During its last monsoon session of the Parliament, the Lok Sabha cleared the amendments in the Goods and Service Tax (GST) laws. These amendments primarily aimed to introduce a 28 per cent GST rate for online gaming, casinos, and horse racing.
The amendments align with the GST Council’s resolution from August 2, which aimed to streamline the taxation of online gaming, casinos, and horse racing.
(With inputs from ANI)
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