Regulatory clarity, GST resolution top gaming firms’ wish list for new govt
A key task for the new government would be to provide clarity on the much-needed regulations for the online gaming sector, besides resolving the higher goods and services tax (GST) issue — especially related to retrospective tax notices — policy experts and industry representatives said.
Even as the retrospective taxation issue involving over Rs 1.5-trillion GST demand by the government from gaming companies is pending for hearing before the Supreme Court, the gaming firms want the new government to roll back the higher GST rate of 28% on deposits.
This is because many companies, which in the pre-revised GST era were sitting on margins of up to 30%, have now started seeing negative margins in the absence of passing on the burden to users.
