Gambling in India could attract higher tax rates

india

Betting could attract a Goods & Services (GST) taxation rate higher than 18 percent.

An official estimated that betting and gambling could attract a Goods & Services (GST) higher than 18 percent.

India.- Dr. Hasmukh Adhia, Union Revenue Secretary, confirmed on an interview with the Indian Express that gambling activities such as betting could attract a Goods & Services (GST) taxation rate higher than 18 percent.

“We’ll see if there are any such services which are to be charged at higher than 18 per cent. We are yet to study the betting model and the gambling model. There are taxes on those also. We don’t know what is the existing (total) entertainment tax and VAT on these activities,” he said, and commented that the rates under GST are set to be close to the existing combined tax incidence of goods and service. The new tax rates will be decided next month or close to July 1, the roll-out date, and the decision will be in charge of the GST Council. The GST is currently the biggest indirect tax reform in the country and it includes both central and state taxes and levies.

Last month, the Finance Minister of Maharashtra confirmed a measure to increase lottery taxes from RS 30,000 (US$457) to Rs 100,000 (US$1526). The decision will take effect on July 1.