GST Council defers tax on online gaming, casinos; GoM to submit report on July 15
A final decision is likely to be taken at the next meeting of the council in August, said Sitharaman.
- Jun 29, 2022,
- Updated Jun 29, 2022 5:31 PM IST
Union Finance Minister Nirmala Sitharaman on Wednesday announced the decisions taken by the 47th GST Council meeting in Chandigarh. The two-day meeting that began yesterday saw participation by Union Ministers of State for Finance and finance ministers of states and Union Territories as well as senior officials from the Centre and states.
In a press briefing, Sitharaman said that Council has decided to maintain status quo on taxing online gaming, casinos, horse racing. It was earlier anticipated that the GoM was considering taxing these elements on the highest 28 per cent tax rate.
A group of ministers headed by Meghalaya Chief Minister Conrad Sangma has been asked to consider submissions of stakeholders again on the valuation mechanism and submit its report by July 15, she told.
The council will meet again in the first week of August to decide on the issue, she said.
"Following Goa's request for special treatment for casinos, it was decided that Group of Ministers (GoM) will give one more hearing for online games and horse racing as well," Sitharaman said, adding that the GoM has has elaborate discussion on tax decision on casinos.
Moreover, the Finance Minister said that rate rationalisation aspect of the GoM headed by Karnataka Chief Minister Basavaraj Bommai was not taken up and the decisions taken were on corrections of inverted duties.
The Council on the first day of the meeting decided to tweak tax rates of some goods and services, including bringing pre-packed and labeled food items under the tax net to check evasion.
Besides, a host of procedural and legal changes, including monthly GST return forms, and mechanisms for dealing with high-risk taxpayers were also discussed.
While suggesting a uniform tax rate and valuation method for these activists, the Group of Ministers, headed by Meghalaya Chief Minister Conrad Sangma, said for the levy of GST, no distinction should be made in these activities merely on the ground that an activity is a game of skill or chance or bot.
Meanwhile on Tuesday, the West Bengal government had written to Sitharaman asking her to take decisions at the ongoing GST Council meeting by consensus, shunning ''majoritarianism''. Separately, West Bengal Finance Minister Chandrima Bhattacharya, who is attending the congregation in Chandigarh told PTI that the Council besides approving changes in tax rates on some goods and services and also allowed states to issue an e-way bill for intra-state movements of gold and precious stones.
Union Finance Minister Nirmala Sitharaman on Wednesday announced the decisions taken by the 47th GST Council meeting in Chandigarh. The two-day meeting that began yesterday saw participation by Union Ministers of State for Finance and finance ministers of states and Union Territories as well as senior officials from the Centre and states.
In a press briefing, Sitharaman said that Council has decided to maintain status quo on taxing online gaming, casinos, horse racing. It was earlier anticipated that the GoM was considering taxing these elements on the highest 28 per cent tax rate.
A group of ministers headed by Meghalaya Chief Minister Conrad Sangma has been asked to consider submissions of stakeholders again on the valuation mechanism and submit its report by July 15, she told.
The council will meet again in the first week of August to decide on the issue, she said.
"Following Goa's request for special treatment for casinos, it was decided that Group of Ministers (GoM) will give one more hearing for online games and horse racing as well," Sitharaman said, adding that the GoM has has elaborate discussion on tax decision on casinos.
Moreover, the Finance Minister said that rate rationalisation aspect of the GoM headed by Karnataka Chief Minister Basavaraj Bommai was not taken up and the decisions taken were on corrections of inverted duties.
The Council on the first day of the meeting decided to tweak tax rates of some goods and services, including bringing pre-packed and labeled food items under the tax net to check evasion.
Besides, a host of procedural and legal changes, including monthly GST return forms, and mechanisms for dealing with high-risk taxpayers were also discussed.
While suggesting a uniform tax rate and valuation method for these activists, the Group of Ministers, headed by Meghalaya Chief Minister Conrad Sangma, said for the levy of GST, no distinction should be made in these activities merely on the ground that an activity is a game of skill or chance or bot.
Meanwhile on Tuesday, the West Bengal government had written to Sitharaman asking her to take decisions at the ongoing GST Council meeting by consensus, shunning ''majoritarianism''. Separately, West Bengal Finance Minister Chandrima Bhattacharya, who is attending the congregation in Chandigarh told PTI that the Council besides approving changes in tax rates on some goods and services and also allowed states to issue an e-way bill for intra-state movements of gold and precious stones.