The GST GoM headed by Meghalaya CM is scheduled to meet in Bengaluru on June 23-24 to discuss the issue of taxation of online gaming, horse racing and casinos. The GoM had earlier 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.
#ETNOWExclusive | GoM on online #gaming to hold meet on July 23-24 in Bengaluru @Meghnamittal23 @GST_Council @FinMinIndia pic.twitter.com/MY4Yp22Mul
— ET NOW (@ETNOWlive) July 20, 2022
In cases of racecourses, the GoM recommended that GST be levied on the full value of bets pooled in the totalisators and placed with the bookmakers. However, at the 47th GST Council meeting in June-end, the Council referred the matter back to the GoM after the Goa chief minister was of the view that casinos should be treated differently than the other activities — horse racing, online gaming and lottery.
The finance minister Nirmala Sitharaman also said the GoM has been given time till July 15 to study and submit a fresh report. The timeline was subsequently extended till August 10.
In the earlier meeting on July 12, the GOM sought a report from the law department on the Games of Skill aspect in case of the race course and online gaming. The industry has represented that online gaming which is held to be a game of skill cannot be equated with gambling.
Have asked the stakeholders to submit their respective presentations so we may take things on the right direction and come to a conclusion on the matter. We will also be meeting physically before we submit the final report to Hon’ble Union FM, @nsitharaman Ji.
— Conrad Sangma (@SangmaConrad) July 12, 2022
In a series of tweets, the Meghalaya CM has sought stakeholders to submit presentations for consideration by the GOM.