India: GST Council pushes back casino tax discussion
The GST Council is waiting for the Group of Ministers’ final report on the taxation of gambling.
India.- The Goods and Services Tax (GST) Council has postponed its meeting to discuss gaming taxation in India. The meeting will now be held in November or December. The move follows a delay to the final report being compiled by the Group of Ministers (GoM).
The GoM is to propose a 28 per cent Goods and Services Tax (GST) for online gaming, racecourses, and casinos in India, The GST Council was originally scheduled to meet in September, but the GoM has reqested more time develop its recommendations.
According to local media reports, the Council is likely to meet after the Himachal Pradesh elections on November 12 or in early December after the Gujarat elections. Casinos, horse racing and online non-gambling games currently pay 18 per cent of the cash collected per game. The proposed 28 per cent rate would apply to online games involving wagering or gambling.
For casinos, the GoM has recommended taxing the full face value of chips/coins purchased by casino players. GST would no longer be levied on the stake value of each betting round, including bets won in previous betting rounds. Additionally, the GoM has proposed a 28 per cent GST on casino entry fees including food and beverages.
