Revenues from online gaming surged 412% to Rs 6,909 crore, says India’s FM Sitharaman

iNDICA NEWS BUREAU-

India’s Finance Minister Nirmala Sitharaman informed Monday, September 9, that revenue from online gaming has increased 412%, reaching Rs 6,909 crore in six months, from the increased levy on the sector.

Addressing a press conference after the 54th GST Council meeting, the Finance Minister said revenues of casinos have “jumped by 30%”.

“For casinos, revenue increased 30% to Rs 214 crore over the six months,” she said.

In July last year, online games, both skill-based and chance-based, were placed in the 28% GST slab in the 50th GST meeting. The measure came into effect on October 1, 2023.

Earlier, skill-based games were taxed at 18%. This is in addition to the tax on winnings from different gaming tournaments.

As per the income tax law, these winnings are treated as winnings from online games and taxed at 30% under the head ‘Income from other Sources’.

The GoM on GST rate rationalisation will hold a meeting on September 23, informed FM Sitharaman.

The GoM on health insurance premium GST is likely to come with a status report by the end of October and the decision is likely in the November GST Council meeting.