Horse Racing Tax: The GST Council, the apex decision-making body on Goods and Services Tax (GST), comprises the Union Finance Minister and representatives of all the states. In the meeting, discussion was held on the wording of amendment necessary for taxing online gaming.
GST on Online Gaming: If you also try to bet in online gaming then this is a big update for you. Union Finance Minister Nirmala Sitharaman said that it has been decided to levy 28 percent tax on the entire amount in online gaming. This decision will be implemented from 1 October. Sitharaman said after the GST Council meeting that in the Council meeting, Delhi, Goa and Sikkim demanded a review of the decision to impose 28 percent tax on online gaming and casinos.
The decision was taken in last month’s meeting
Other states talked about implementing it, after which it was decided to implement the decision. The GST Council, the apex decision-making body on Goods and Services Tax (GST), consists of the Union Finance Minister and representatives of all the states.
In the meeting, discussion was held on the wording of amendment necessary for taxing online gaming. In the meeting held last month, it was decided to levy GST at the rate of 28 per cent on the entire money bet in online gaming, casino and horse riding.
Opposition to impose tax on online gaming
After this decision, a meeting was held on Wednesday regarding its implementation. Sitharaman said that Delhi’s finance minister opposed the imposition of tax on online gaming, while Goa and Sikkim wanted the tax to be levied on the gross revenue (GGR) of the game and not the entire amount at stake. The Finance Minister said that other states including Karnataka, Gujarat, Maharashtra and Uttar Pradesh wanted the decision taken in the last meeting to be implemented.
He said that after making necessary changes in the Central and State laws in this regard, the new tax on online gaming is likely to come into effect from October 1. The Finance Minister said that the tax will be reviewed after six months of its implementation.
