Will 28% GST kill real-money online gaming industry in India?
Will 28% GST kill real-money online gaming industry in India? Up until now, only online gambling and betting have attracted such a steep tax The government plans to slap a 28 per cent tax on all forms of online gaming to discourage the youth from getting addicted to such practices. Up until now, only online gambling and betting have attracted such a steep tax. Earlier this week, Finance Minister Nirmala Sitharaman announced a 28 per cent GST levy on the total game value for online gaming, horse racing, and casinos, equating skill-based online games (non-gambling games) with online games of chance (gambling games) under India's tax regime. Current GST regime differentiates between skill-based games and gambling (based on chance) As of now, the GST regime differentiates online games based on skills versus chance. With the recommendation made at the 50th GST Council meeting, 28 per cent GST will be charged on full face value. A game of skill is one where t...