Need Tally
for Clients?

Contact Us! Here

  Tally Auditor

License (Renewal)
  Tally Gold

License Renewal

  Tally Silver

License Renewal
  Tally Silver

New Licence
  Tally Gold

New Licence
 
Open DEMAT Account with in 24 Hrs and start investing now!
GST - Goods and Services Tax »
Open DEMAT Account in 24 hrs
 GSTN Introduces the e-Invoice Verifier App: All You Need to Know
 Income tax return filing: What is ITR 1 Sahaj form? Check eligibility and steps to file online
 GST council may consider setting up tribunal for indirect tax litigation
 GST Council may lower tax on health insurance
 GST Annual Return: CBIC amends GSTR-9 to Allow IRC Claims and Amendment of Invoices till 30th Nov
 GST (Tax) E-invoice Must For Businesses With Over 5 Crore Annual Turnove
 GST Portal Releases Module-wise New Functionalities deployed on the Portal for Taxpayers
 GST on betting and gambling: Tax structure and liabilities in case of default
 Budget to reset tax laws to decriminalise sections in I-T, GST: Finance Ministry
 In relief to tenants, AAR allows tax credit on GST paid on upfront lease premium
 GST wing of CBIC conducts tax inspections against insurance companies
 5 years of GST: Why the indirect tax regime may not see big-bang reforms
 Highest tax slab on online gaming may stunt growth
  Infosys directed to fix glitches on income tax e-filing portal
 Infosys directed to fix glitches on income tax e-filing portal

GST on betting and gambling: Tax structure and liabilities in case of default
October, 03rd 2022

Taxability in GST

According to Archit Gupta, Founder & CEO, Clear, GST is computed on gross gaming value or stake instead of the gross gaming revenue (total collection minus winnings distributed) or service fee. Hence, a 28% GST is charged and collected on betting and gambling under the HSN code 999692 on the total stake or bet value.

Online Games of Chance and Skill

Betting and gambling are games of chance that differ from the game of skills such as e-sports and some card-based games. Game of skills attracts 18% GST under HSN 998439 on a commission fee.

In gambling/betting, GST is collected on gross gaming value or stake value. Hence, GST collection is secured despite the players winning/losing.

“Some of the online skill-based games such as Rummy are being wrongly classified as betting and gambling. Retaining a high GST rate for betting or gambling would give rise to a parallel black market and potentially hamper foreign direct investment (FDI) into the online gaming industry," said Gupta.

 

I-T notices being sent to winners of online games for short-payment of tax

The income tax department has started issuing notices to individuals who have played and won online games, CBDT Chief Nitin Gupta had earlier said. The I-T department action comes close on the heels of the GST intelligence wing issuing a show cause notice earlier this month to a Bengaluru-based online gaming portal GamesKraft Technologies Pvt Ltd demanding ₹21,000 crore in taxes, interest and penalty. 

GST collections in September surges 26 per cent

The gross revenue from GST surged by 26 per cent year-on-year to 1,47,686 crore in September 2022, as per the government data released on Saturday.

According to the data released by the Union Ministry of Finance, the gross GST revenue collected in the month of September 2022 is 1,47,686 crore of which CGST is 25,271 crore, SGST is 31,813 crore, IGST is 80,464 crore (including 41,215 crore collected on import of goods) and Cess is 10,137 crore (including 856 crore collected on import of goods).
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2023 CAinINDIA All Right Reserved.
Designed and Developed by Ritz Consulting