India: minister to ask GST Council to rethink 28% Gaming Tax
Rajeev Chandrasekhar, India’s minister of state for electronics and IT, says he will ask the GST Council to rethink its decision.
India.- Rajeev Chandrasekhar, India’s minister of state for electronics and IT, has said that he will approach the GST Council to rethink its decision to impose a tax rate of 28 per cent on the full face value amount for online gaming, casinos and horse racing betting. The gaming sector had expressed concerns about the tax’s impact.
Chandrasekhar said he intends to advocate for reconsideration, highlighting the nascent nature of the online gaming regulatory framework and its evolution since January 2023.
At the beginning of Tuesday’s trading, Delta Corp shares rose by over 4 per cent. They had fallen by 23 per cent after the GST Council’s announcement last week. While many online gaming firms welcomed the 28 per cent rate, startups raised concerns that the decision might lead to increases in net taxes of up to 1,000 per cent. some fear that an increase in taxes could encourage players to choose illegal gambling websites.
