Representation for Rate of GST and valuation on online gaming

Representation for Rate of GST and valuation on online gaming

December 13, 2022


Taxation & Accountancy

Smt. Nirmala Sitharaman

Hon’ble Union Minister of Finance and Corporate Affairs

Ministry of Finance

Government of India

North Block

New Delhi 110 001


Hon’ble Finance Minister,


This is with respect to captioned subject matter.


As per recent media reports after the 47th GST Council meeting, the GoM has recommended a rate of 28% on the online gaming services. However, there is no clarity on the valuation for levying such rate of tax. At the outset, we are extremely thankful to the Hon’ble Finance Minister, the GST Council, and the Group of Ministers (GoM) on Casinos, Race Courses and Online Gaming to deliberate and re-examine the issue of rate and valuation of charging GST on the online gaming industry to keep the industry viable.


We understand that the next 48th GST Council meeting is expected to be held virtually on 17th December 2022, wherein one of the agenda for the GST council will be to decide on the above matter.


In this regard, representations received from the online gaming companies is attached herewith for your perusal with a plea to keep the tax base as gross gaming revenue (i.e. platform fees) in line with the international practice. A detailed representation with the basis for the valuation and impact on the industry as a whole is attached herewith for your records and reference.


We hope that you will consider the representation favourably. We would request for a meeting to explain our submission and discuss the related issues if so required.


Thanking you

instagram default popup image round
Follow Me
502k 100k 3 month ago