Gaming federation writes govt to defer rollout of 28% GST

All India Gaming Federation (AIGF), an industry body that represents the country's top skill gaming firms, has approached the finance ministry seeking a suspension of its recent notification on 28 percent goods and services tax (GST) being implemented on online money games from October 1,2023. Some states are however yet to amend their GST laws.

As per the report, on September 29, the finance ministry had notified the effective date for the implementation of new GST rates as October 1, as per its initial plan. This was despite a dozen state governments yet to pass the requisite amendments to their respective state GST laws.

In a letter to revenue secretary Sanjay Malhotra dated September 30, AIGF CEO Roland Landers said these notifications are a "severe blow to the creed of 'one nation, one tax'" and will tear apart "the fabric of GST". It may also open the "floodgates of unilateral actions in future by various states in various other aspects of GST", he said.

As per AIGF ,it has over 120 members including skill-gaming companies and game developers across all formats and genres. Among its prominent members include Mobile Premier League (MPL), Gameskraft, Nazara Technologies, Deltatech Gaming, Head Digital Works (A23) and WinZO.

The industry body has requested that the implementation of the new tax regime be deferred until all the states pass their respective amendments, in line with the GST scheme, and until the judgement of the Supreme Court comes out.