GST officers are investigating Rs 23,000 crore (US$2.81m) tax evasion by gaming companies.<\/p>\n\n\n\n\n\n\n\n
India.- Tax officers are going after offshore entities providing online betting and gambling platforms<\/strong> to Indian residents through mobile apps for violating the Goods and Services Tax (GST) law. The companies are not registered as suppliers <\/strong>of Online Information Database Access and Retrieval (OIDAR) services and are therefore not paying GST.<\/p>\n\n\n\n A source said many offshore entities are making money in India by providing platforms for online betting and gambling but are not GST-registered<\/strong>. The Finance Ministry estimates that gaming companies evaded approximately INR 23,000 crore (US$2.81m) in tax between April 2019 and November 2022.<\/p>\n\n\n\n It is difficult to serve notices to them since they do not have a permanent location or physical presence in India. Some companies also frequently change their overseas bank accounts<\/strong>, making it more difficult to trace them. <\/p>\n\n\n\n The Foreign Exchange Management Act (FEMA) prohibits outward remittances for betting and gambling, and the activities can also be probed by the Enforcement Directorate.<\/p>\n","protected":false},"excerpt":{"rendered":" GST officers are investigating Rs 23,000 crore (US$2.81m) tax evasion by gaming companies.<\/p>\n","protected":false},"author":176,"featured_media":26756,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"is_press_release":false,"is_interview":false,"is_opinion":false,"focusai_summary":"Indian GST authorities are investigating offshore online betting and gambling entities for an estimated INR 23,000 crore (US$2.81m) in tax evasion between April 2019 and November 2022. These companies are accused of operating without GST registration for Online Information Database Access and Retrieval (OIDAR) services. Challenges in enforcement include the lack of physical presence and frequent changes in overseas bank accounts, with potential probes under FEMA.","focusai_entities":"GST officers, Finance Ministry, Enforcement Directorate","focusai_location":"India","focusai_target_profile":"ceo_executive (0.9), regulator (1.0), compliance_legal (1.0), operator_casino (0.9), affiliate_publisher (0.7), marketing_crm (0.7), payments_fraud_aml (0.9), investor_analyst (0.9), supplier_vendor (0.7)","focusai_suggestions":[{"label":"Enforcement Mechanisms for Offshore?","query":"What are the specific legal mechanisms India plans to employ to enforce GST compliance against offshore entities lacking physical presence?"},{"label":"Impact on Regulatory Framework?","query":"How will this investigation impact the broader regulatory framework for online gaming in India, particularly regarding OIDAR services and cross-border transactions?"}],"footnotes":""},"categories":[439,16334],"tags":[23911],"class_list":["post-777004587","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-legal-news","category-south-asia-news","tag-gambling-regulation"],"_links":{"self":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/777004587","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/users\/176"}],"replies":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/comments?post=777004587"}],"version-history":[{"count":2,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/777004587\/revisions"}],"predecessor-version":[{"id":777004594,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/777004587\/revisions\/777004594"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media\/26756"}],"wp:attachment":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media?parent=777004587"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/categories?post=777004587"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/tags?post=777004587"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}