- India’s Supreme Court ruled that GST applies to the full value of stakes/bets in online gaming, fantasy sports, and casinos, not just platform fees or commissions.
- The Court held that participant stakes create actionable claims, making them taxable “goods” under the GST law, and said the skill-vs-chance distinction does not matter for GST once money is staked on an uncertain outcome.
- Gaming platforms were treated as suppliers, not mere intermediaries, because they set rules, pool stakes, assign opponents, and manage payouts.
- The Court upheld valuation rules requiring tax on the total amount deposited or paid by players, rejecting the argument that GST should be limited to gross gaming revenue.
- It also confirmed the retrospective effect of the 2023 GST amendments, restoring tax notices against gaming operators.
Source: regfollower.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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