GST Council Likely To Retain 28% Tax On Online Gaming In June Meeting

Months after the Centre implemented a 28% goods and services tax (GST) rate on online gaming from October 1 last year, the GST Council is likely to meet in June for a review after the formation of the new government. 

“The GST Council meeting will happen in June-end, after the new government comes in. It will review online gaming revenue from October 1 (2023) onwards…” Moneycontrol reported, citing a government official.

“The Council had decided 28% on the face value, and this is likely to continue as the GST revenue of the government from online gaming has increased 5-6 times in the last six months. The tax data will be compiled and presented before the Council,” the official added. 

Earlier, the GST received from such companies was at INR 200 Cr per month which has gone up since the 28% GST imposition to INR 1,000 Cr, the official said.

Last year, the GST Council announced its decision to impose a 28% GST on the amount being paid at the entry level for online gaming. The move was part of the efforts of the governments, both state and central, to regulate online real money gaming. 

Source : https://inc42.com/buzz/gst-council-likely-to-retain-28-tax-on-online-gaming/