The GST Council's suggestions for a system to enforce uniform 28% GST on the face value of online gambling, gambling establishments, and horse racing drew conflicting responses from the online gaming sector and academics. The new system is anticipated to go into effect on October 1.
In its meeting on Wednesday, the Council stood by its prior suggestion to tax chips or bets based on their face value. It did, however, offer a small respite by making it clear that no GST will be charged in the event that the winnings are redistributed. Additionally, the Council opted to assess the mechanism six months after it was put into place.
In its meeting on Wednesday, the Council stood by its prior suggestion to tax chips or bets based on their face value. It did, however, offer a small respite by making it clear that no GST will be charged in the event that the winnings are redistributed. Additionally, the Council opted to assess the mechanism six months after it was put into place.
