SC stays GST notices worth over Rs 1 lakh crore against online gaming firms for tax fraud
The Supreme Court on Friday stayed showcause notices issued by GST authorities worth over Rs 1 lakh crore to online gaming companies and casinos over alleged tax evasion. A bench of Justices J B Pardiwala and R Mahadevan said the matters required hearing and all proceedings against the gaming firms should remain stayed in the meantime.
Additional solicitor general N Venkataraman, representing the GST department, said some showcause notices would come to an end in February. The matter was posted on March 18. GST authorities in October 2023 issued showcause notices to online gaming companies for tax evasion.
The government amended the GST law, making it mandatory for overseas online gaming companies to register in India from October 1, 2023 onward.
In August, 2023, the GST council clarified 28 per cent GST would be levied on the full value of bets placed on online gaming platforms.
