Online gaming industry to approach new govt for reduction in GST post elections
The industry wishes that through the tax be computed in the Gross Gaming Revenue (GGR) rather than on the full face value.
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Post the General Elections, the online gaming industry plans to approach the new government to request for a reduction in Goods and Service tax (GST), reported moneycontrol.
The industry wishes that through the tax be computed in the Gross Gaming Revenue (GGR) rather than on the full face value. Moneycontrol added that the request is on the basis that the current rate of tax is unsustainable for startups in the industry.
GGR is the difference between the amount wagered minus the amount won. The govt levied GST on full face value instead of GGR since October 1, 2023. Revenue since Oct 1 from online gaming has increased Rs.200 crore to Rs. 1100 crore per month, as per reports.
In India, the online gaming industry is estimated to be around $2.5 billion, globally it is estimated to be around $159 billion.
