The Goods and Service Tax Council has constituted a bunch of ministers (GoM) to study whether or not any change in authorized provisions is required for valuation of companies supplied by online gaming, race courses and casinos. Earlier Shivagangai  Congress MP Karti  P Chidambaram urges the Tamil Nadu government to resume lottery sales in the state to boost the economy of the state.

Chidambaram took it to micro blogging site Twitter to express that lottery sales must be approved by the government.

Please read what I have proposed, before shooting off your comments. It’s an idea worth exploring & is open for debate & discussion. Don’t dismiss the idea without dwelling into the details of the broad proposal. https://t.co/BXHa02tQyA

— Karti P Chidambaram (@KartiPC) May 24, 2021

He highlighted on the fact that people are concerned that their family members might  be ruined because of buying lottery but if  lottery shop releases 10 lottery tickets per person with Aadhaar card then it might remain controlled.

The Goods and Service Tax Council has constituted a group of ministers (GoM) to examine whether any change in legal provisions is required for valuation of services provided by online gaming, race courses and casino

The Council has created four-point phrases as a reference for the GoM which is able to embody inspecting the taxability of sure transactions in casinos associated to current authorised provisions and orders of Courts. The phrases are as follows

1. To examine the issue of valuation o( services provided by Casinos, Race Courses and online gaming portals and taxability of certain transactions in a casino, with reference to the current legal provisions and orders of Courts on related

2. To examine whether any change is required in the legal provisions to adopt any better means of valuation of these

3. To examine the administration of such valuation provision if an alternative means of valuation is

4. To examine impact on other similarly placed services like

Impact of equally positioned companies, comparable to lottery, may even be examined by the GoM.

The seven-member GoM, are as follows:

According to a latest Maharashtra Authority of Advance Ruling (AAR) ruling, online video games are classifiable underneath online data and data-based entry or retrieval companies or OIDAR companies, underneath GST which is taxable. However, rivalry is open on whether or not latest video games like Dream 11 that supply fantasy sports activities gaming companies qualify as a sport of talent or playing.

“Applicability of GST on online gaming, classification of the identical as sport of talent vs sport of likelihood, taxable worth on which GST wants to be paid i.e. gross worth together with prize cash vs. solely platform charges and so forth. are areas which require clarifications, and therefore the initiative by the federal government to kind a GoM to look into all these points,” stated Harpreet Singh, oblique tax accomplice at KPMG India according to Pehela News.