Delta Corp sees positive implications in Supreme Court GST ruling
The operator has said that judgement supports its long-standing tax position.
India.- Delta Corp has indicated that it sees a potentially “favourable outcome” from the recent Supreme Court ruling that upheld the retrospective application of India’s 28 per cent Goods and Services Tax (GST) on online gaming.
The court’s backing for the government’s position that online gaming platforms are subject to GST on the full face value of bets and that legislative amendments validating the tax can be applied retrospectively triggered a broad sell-off of Indian gaming stocks amid concerns over tax liabilities. However, in a filing to the stock exchange, Delta Corp said the Supreme Court order appears favourable to reducing its potential tax exposure.
It said that its preliminary understanding is that the methodology adopted for GST calculations since October 2023 will now apply retrospectively to the period between July 2017 and September 2023. This would support the operator’s view that GST on casino operations should be levied on the amount received from players for chips sold, rather than on the gross bet value of all games played during the relevant period, reducing its tax exposure compared with calculations based on total wagering volume.
company’s shares fell sharply following the verdict, w
