Union Finance Minister Nirmala Sitharaman addressed the media after the 51st meeting of the GST Council.
During the press conference, the Finance Minister explained about the decisions taken in the meeting.
During this, the Finance Minister said that the 28% GST on online gaming and horse racing would be reviewed in the next six months.
The Finance Minister said that during the GST Council meeting, Delhi, Goa and Sikkim demanded a review of the decision of 28 per cent GST on online gaming.
Finance Minister Nirmala Sitharaman said after the 51st meeting of the GST Council that the decision to levy 28 per cent GST on the full face value of bets placed on online gaming will be implemented from October 1.
The GST Council will review the implementation of 28% GST on online gaming and casinos after 6 months.
The Council recommended that supply on online gaming may be assessed on the basis of amount paid by the player.
During the interaction with the media, the Finance Minister said that the CGST Act is expected to be amended in the monsoon session.
During the press conference, Revenue Secretary Sanjay Malhotra said that the decision on the issue of online gaming in the GST Council meeting may not have been unanimous, but it was close to consensus.
The GST Council after its 51st meeting has recommended certain amendments to the CGST Act 2017 and IGST Act 2017, including amendments to Schedule III of the CGST Act, 2017. It aims to bring clarity on levy of GST on supplies to casino, horse racing and online gaming.
The GST Council has also recommended adding a specific provision in the IGST Act, 2017 to ensure liability to pay GST even on a supplier located outside India who supplies online money gaming to a person in India.
Revenue Secretary Sanjay Malhotra said that betting is already under the purview of GST and this does not make it legal.
Speculation and gambling are illegal and come under the purview of tax. Taxing online gaming would not make online games legal in states that have banned them.
