The Finance Ministry is considering classifying online gaming into categories of skill and chance, and levying a differential rate of GST, an official said. Online games where winning is dependent on a certain outcome or is in the nature of betting or gambling would attract 28 per cent Goods and Services Tax (GST), while those which involve some amount of skill could be taxed at a lower 18 per cent. A final decision on the taxation on online gaming would be taken by the GST Council in its next meeting, which is likely in May or June. “All online games are not games of chance and are not in the nature of betting or gambling. The Finance Ministry will be presenting its view before the council,” the official told reporters here.
Source: a2ztaxcorp.com
