Delhi Finance Minister Atishi to raise issue of tax on online gaming at GST council meeting

Ahead of the GST Council meeting, Delhi Finance Minister Atishi on Wednesday sought reconsideration of the decision to levy 28% tax on online gaming. The GST Council, in its meeting on Wednesday, is likely to finalise the modalities for determination of supply value in online gaming and casinos for levying 28% tax.

The minister, who met representatives from the online gaming industry on Tuesday, said the issue will be raised by her at the meeting.

"Last month the @GST_Council decided to impose a 28% tax on Online Gaming. Many entrepreneurs and investors from the start-up ecosystem opposed this decision, as they felt that it would destroy this fast growing industry.Yesterday, I met several representatives from the Online Gaming industry to understand their concerns.


"Today the @GST_Council is meeting again, and I will ask the Council to reconsider its decision. Promoting start-ups and entrepreneurship is the only way our economy is going to grow!" Atishi tweeted.

The Council, chaired by Union Finance Minister Nirmala Sitharaman and comprising state ministers, in its last meeting on July 11 approved levying 28% tax on full face value of bets in online gaming, casinos and horse racing.

Subsequently, the Law Committee, comprising Centre and state tax officers, prepared draft rules for consideration of the GST Council with regard to computation of supply value for tax purposes.