Casino chain Delta Corp has received another notice from the GST authorities to pay up an additional Rs 6,385 crore as the tax shortfall due from its subsidiary company Deltatech Gaming.
"The GST notice advises Deltatech Gaming Limited to pay the alleged tax shortfall along with interest and penalty failing which a show cause notice will be issued to the Company under Section 74(1) of the CGST Act, 2017," the company said in a filing with the stock exchange.
Deltatech Gaming, formerly known as Gaussian Networks, runs gaming apps Adda52 and Addagames.
Delta Corp's total tax liability has now gone up to Rs 23,206 crore. The amount is more than 6 times the company’s market capitalisation of Rs 3,749 crore.
Earlier on September 22, the company had received a notice to pay up Rs 11,140 crore as GST. Besides, a notice to cough up Rs 5,682 crore as tax was also sent to the company to be paid by three of its subsidiary companies- Casino Deltin Denzong, Highstreet Cruises and Delta Pleasure Cruises.
The company claims that the demand by the GST authorities has been on the gross bet value, rather than the gross rake amount which is an industry issue and various representations have been made to the Government on the issue.
Also read | 28% GST on online gaming, casinos & horse racing from Oct 1: CBIC chief
Also read | Delta Corp plummets over 18% after intimation to pay Rs 11,139 cr in GST
