NewsGate Press Network

On Wednesday the 29th of June 2022 during its meeting held in Chandigarh, the GST Council deferred decision on levying a 28 per cent tax on casinos, online gaming, horse racing and lottery.

The Finance Minister Nirmala Sitharaman said that Council needs more consultations with stakeholders before deciding a higher tax structure.

A group of ministers headed by Meghalaya Chief Minister Conrad Sangma has been asked to consider submissions of stakeholders again on the valuation mechanism and submit its report by July 15, Finance Minister told reporters.

The council will meet again in the first week of August to decide on the issue, she said.

A two-day meeting of the panel considered a report of the GoM but deferred a decision as Goa and some others wanted to make more submissions.

The GoM had recommended that online gaming should be taxed at the full value of the consideration, including the contest entry fee paid by the player on participating in the game.

In cases of race courses, it had suggested that GST be levied on the full value of bets pooled in the totalisators and placed with the bookmakers.

It also recommended that no distinction should be made on grounds of game of skill or game of chance for the purpose of the levy of GST and should be taxed at the highest rate of 28 per cent.