Malay Kumar Shukla, Secretary of E-Gaming Federation called the move 'an extremely unfortunate decision as charging a 28% tax on full face value will lead to a nearly 1000% increase in taxation and prove catastrophic for the industry.'
However, industry players expressed their concerns.
Simply put, online gaming, horse racing and casinos will be taxed at 28% and will be taxed on full face value,' Sitharaman said.Īmendments to GST law will be brought to specify that Tax will be applicable on the face value of the chips purchased in the case of casinos, on the full value of the bets placed with bookmaker/totalisator in the case of horse racing and on the full value of the bets placed in case of the online gaming, an official statement from finance ministry explained. There will be some amendments to GST law. 'Today I am happy to say we have arrived at a decision.
In the case of taxation of online gaiming, horse racing and casinos, a vexed issue on which ministers did extensive consultation, the Council recommended amendments to the law to specify 28% tax on all three on their full face value.
