The Group of Ministers (GoM) has recommended that GST on on-line gaming, horse racing, and casinos be levied at 28%, only on the actual betting component for casinos rather than the whole consideration, which can embrace different bundled items and providers.
Currently, 18% GST is levied on casinos, horse racing and on-line video games the place no betting or playing is concerned. The charge is 28% for on-line video games that contain betting or playing.
Earlier, Goa had opposed the GoM’s earlier recommendation and demanded that the 28% GST be levied only on the betting amount rather than the full spend in casino.
As the 28% charge on the full-face worth of chips or cash bought at a on line casino would severely hit the sector as the complete quantity was not spent on betting.
The GST Council had in its June 28-29 assembly requested the GoM to overview its suggestions following Goa’s request. The closing advice is more likely to be positioned earlier than the GST Council together with the commentary of the legislation committee of the Council on 10th August 2022.