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GST on online games remains vexed issue despite Council blunting its impact

The gaming industry opposes 28 per cent tax on fresh bets even prospectively as it will increase the burden by 400 per cent, which is neither fair nor sustainable

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However, the industry is unhappy as they are averse to paying GST on bets. The industry is willing to pay GST on platform fees, which they say is their income from offering these services.

Indivjal Dhasmana New Delhi
The Goods and Services Tax (GST) Council was expected to resolve the vexed issue of taxation on e-money gaming companies. After months of deliberations by the group of ministers (GoM), the Council impose 28 per cent GST on bets placed by participants on e-games, but provided relief to companies by restricting it to entry levels.

However, the industry is unhappy as they are averse to paying GST on bets. The industry is willing to pay GST on platform fees, which they say is their income from offering these services.

To understand the whole issue, let us take an example of

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First Published: Aug 29 2023 | 12:55 PM IST

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