The finance minister, Nirmala Sitharaman said on Monday that revenue from online gaming increased 412 per cent at Rs 6,909 crore for six months due to the increased levy on the sector.
Addressing a press conference after the 54th GST Council meeting, the Finance Minister said revenues of casinos have "jumped by 30 per cent."
"For casinos, revenue increased 30 per cent at Rs 214 crore in the six months," she said.
The last GST meet in July last year put online skill and chance-based games under the 28 per cent slab. The move was applicable from October 1, 2023.
Skill-based games were taxed at a rate of 18 per cent till now, besides the tax on winning arising from different gaming tournaments.
Thus, under the income tax law, it is considered winnings from online games and taxed at 30 percent under the head 'Income from other Sources'.
The GoM on GST rate rationalisation will meet on September 23, FM Sitharaman said.
The GoM on health insurance premium GST is likely to come with a status report by the end of October and the decision is likely in the November GST Council meeting.
The GST Council has also agreed to form a GoM on compensation cess and slashed tax on cancer drugs from 12 per cent to 5 per cent.
GST rates on cancer medicines are also being cut. It is being reduced from 12 percent to 5 percent in order to make the treatment of cancer further affordable, " said Finance Minister.
GST on selected snacks has also been reduced to 12 per cent from 18 per cent.
Revenue Secretary Sanjay Malhotra said the Council did not discuss whether to exempt payment aggregators from paying tax on online payments.
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