Online Gaming, Casino, Horse Racing May Soon Attract 28% GST

Now, the recommendation of GOM is subject to the final approval of the GST council, which will discuss it and will take the final call.

New Delhi: A group of ministers (GOM) led by Meghalaya chief minister Conrad Sangma has agreed to recommend hiking the GST rate on casinos, racecourses and online gaming services to 28 per cent. In a meeting held on Wednesday, the GoM discussed various aspects n regard to these activities, including the possible GST rates and technicalities.

After the meeting, Sangma took to Twitter and said that GOM has come to a consensus on the matter and that the report of the meeting will be handed over to finance minister Nirmala Sitharaman in a day or two, and then the matter will be presented in the next GST Council meeting.

Thank all members for their cooperation & Hon’ble FM for giving us this task.@PMOIndia @FinMinIndia @GST_Council pic.twitter.com/JwctHdZOoQ

— Conrad Sangma (@SangmaConrad) May 18, 2022

Now, the recommendation of GOM is subject to the final approval of the GST council, which will discuss it and will take the final call.

Currently, the GST rate applicable on online games involving betting or gambling is 28%, and other games are levied at 18%. A tax rate of 18% is also levied on the commission collected by online gaming platforms for each game. Casinos and racecourses are also paying 18% GCT, backed by a court order in the absence of clarity on the subject. However, GST is levied at 28% on the total bet value in horse racing.