India asks for low tax rate on casino operations

The gaming federation filed a representation to the council for a standard rate to tax the casino transactions.

India.- The All India Gaming Federation (AIGF) asked the GST Council to provide a rate to tax the casino transactions and create rules specially for some transactions related to the industry.

According to Asian News International, Roland Landers, AIGF CEO, said that the transactions of the gaming industry are very different from the regular business transactions, therefore they require special attention and consideration. “If the provisions of the model GST law are applied as it is to the gaming transactions it will be against the very essence of the concept of GST i.e. to tax the value addition and would cause genuine hardship to the operators in the industry,” he added.

Landers believes that these transactions should not be taxed higher than the standard rate if the social contribution they make creating jobs and state revenue is considered. “The practice will be in line with the global practices where the casino transactions are either taxed at a standard rate or exempt from them and other taxes.”

The representation also asks for clarification on subjects such as the place of supply of the online transactions.