Karnataka: IT minister Priyank Kharge demands Govt’s engagement with gaming industry

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Karnataka’s IT minister Priyank Kharge has called out GST Council’s decision to impose 28% GST on online gaming. Kharge believes that the new GST rate would lead to flight of talent and capital.

With an ongoing struggle of the online gaming industry, Kharge spoke in the industry’s favour. He opined that the Govt should engage and have a dialogue with the companies. Kharge also believes that this will lead to maintain the growing potential of the online gaming industry.

As per The Times of India, Kharge said, “I have written to the finance minister. I have also written to my predecessor and requested his team to relook at their stance as a game of skill versus chance is different.”

“We hope the central government addresses their concerns and if they’re not going to have a dialogue with the gaming industry and the players, this is going to create chaos and destroy many families,” he added.

Kharge has also previously opposed the decision to increase GST. However, revenue minister, Krishna Byre Gowda, supported the Council’s decision to levy 28% GST on full face value.

Bengaluru can lead the growth of online gaming sector in the country

Kharge says that a GST increase will lead people to illegal offshore platforms that entice them with no taxes. He also said that Bengaluru is already one of the largest tech cluster in the world. Furthermore, he said that with several skilled individuals, the state can lead the growth of the gaming sector.

“We need to be more resilient for the future, and we need to ensure we are ready for the challenges for future innovations, and that is exactly what GoK is doing. We have a Skill Advisory Committee for emerging technologies with industry, academia, and government. I am heading this committee personally to ensure that as a government we are listening to the industry to be future ready,” Priyank Kharge elaborated.

CEO of Krafton India, Sean Hyunil Sohn also gave a similar statement. While talking about video gaming industry, the focus was on government to find way to promote the industry’s growth.