Tampa Bay Indian Community - tampabayIndian.com
| | | | | | | | | | | |
 


 

Gaming sector’s demands not discussed at GST Council meeting

Author : IANS

Science/Tech, National Read Latest News and Articles

Share With Your Friends



Add an Article

View All Contributions

Add To My Favorite

Add A Picture

New Delhi, June 23 (IANS) The Goods and Services Tax (GST) Council at its 53rd meeting decided not to take up the demand of the gaming companies to levy 28 per cent GST on the Gross Gaming Revenue (GGR) that is earned by the industry, not on the full value of bets placed in online games.

According to the gaming companies, the 28 per cent GST on skill-based online games has triggered a cascade of repercussions, including funding constraints, reduced growth trajectories, job losses, and heightened uncertainty across the sector.

Manish Mishra, Partner, JSA Advocates and Solicitors, said the fact that GST on online gaming was not taken up for discussions “may come as a major disappointment to the sector which was expecting relief from the high rate of taxation and retrospective of demands”.

According to the latest report by Ernst & Young (EY) and the US-India Strategic Partnership Forum (USISPF), since October 2023, some gaming companies reported a complete withdrawal of global marque investors just at the onset of the new GST regime.

Before the amendment, the GST cost constituted 15.25 per cent of the revenue.

However, since October 1, 2023, the GST cost has increased manifold, with GST now consuming 50-100 per cent of the revenue for 33 per cent of companies and even surpassing total revenue for startups.

“These startups now have to operate at a loss,” the report argued.

--IANS

na/dan


Copyright and Disclaimer: All news and images appearing in our news section, search engines and social media are provided by IANS. If you face any issues related to the content/images, please contact our news service provider directly. We are not liable/responsible for any content/images related to the news service provider.


Latest News

View More News


More News Articles

Bhumi Pednekar: Love celebrating my birthday but this year I've kept it very simple

Arjun Bijlani on 'Laughter Chefs': 'Each shooting day is filled with energy, positivity'

Shraddha Kapoor on her 'Stree' character's braid: Isme 20,000 volt ki shakti hai

'It's essential to recognise their hard work', says Shivam Dube on honouring Harare ground staff

Manoj Muntashir lauds 'Superstar Singer 3' contestant's rendition of 'Kuch To Log Kahenge'