GST imposed a tax on casino operator Delta Corp of Rs. 11,140 crore tax notice has been sent

New Delhi:

Delta Corp, the country’s only listed gaming company and casino operator, has received a tax shortfall notice from the government. The Directorate General of GST Intelligence has charged gaming company Delta Corp with Rs. 11139 crore tax notice has been sent.

In this notice, the company along with interest and penalty of Rs. 11,139 crore shortfall tax has been asked to be deposited. After receiving the notice, the company’s shares rose 0.3 percent on Friday to Rs. 176 (Delta Corp Share Price) closed at .

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A show cause notice has been issued to Delta Corporation, according to a report by news agency Reuters. The tax cuts are between July 2017 and March 2022. The amount of tax mentioned in the DG notice is based on the total bet value played in the casino.

The tax notice comes at a time when the company is valued at Rs. 47,000 crore ($566 million) is over. The company is already facing a 28 percent indirect tax imposed by the Goods and Services Tax Council, or GST Council, in July.

“The demand for GST based on gross bet value rather than gross gaming revenue based calculation is an industry issue. The gaming industry has appealed to the government on this several times,” the company said. Delta said it will pursue all legal remedies to challenge such tax demands and related legal proceedings.

Let us tell you that the 50th meeting of the GST Council was held on 11 July. In a meeting chaired by Finance Minister Nirmala Sitharaman, the GST Council agreed to levy 28 per cent GST on the full value of online gaming, horse racing and casinos. The GST Council has decided to reduce GST on food in cinema halls. At the same time, GST will also not be applicable on cancer drugs.

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Now 28% GST on online gaming and casinos, no tax on cancer drugs

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