{"id":19434,"date":"2026-05-28T01:06:16","date_gmt":"2026-05-28T01:06:16","guid":{"rendered":"https:\/\/saharanews.in\/2026\/05\/28\/gaming-companies-face-rs-2-5-lakh-crore-hit-as-sc-upholds-gst\/"},"modified":"2026-05-28T01:06:16","modified_gmt":"2026-05-28T01:06:16","slug":"gaming-companies-face-rs-2-5-lakh-crore-hit-as-sc-upholds-gst","status":"publish","type":"post","link":"https:\/\/saharanews.in\/?p=19434","title":{"rendered":"Gaming companies face Rs 2.5 lakh crore hit as SC upholds GST"},"content":{"rendered":"<p> <br \/>\n<\/p>\n<div data-articlebody=\"1\"><video-embed value=\"false\"\/><\/p>\n<div class=\"ihgno clearfix  \">\n<div class=\"e9jwa\">\n<div class=\"vdo_embedd\">\n<div class=\"GfdvZ\">\n<section class=\"_bIDB  clearfix id-r-component leadmedia undefined undefined  E9tg9 \" style=\"top:0px\">\n<div class=\"_bIDB\" data-ua-type=\"1\" onclick=\"stpPgtnAndPrvntDefault(event)\">\n<div class=\"ypVvZ\">\n<div class=\"WGttI\"><img src=\"https:\/\/static.toiimg.com\/thumb\/msid-131361089,imgsize-210551,width-400,height-225,resizemode-4\/article-31.jpg\" alt=\"Gaming companies face Rs 2.5 lakh crore hit as SC upholds GST\" title=\"Representative image\" decoding=\"async\" fetchpriority=\"high\"\/><\/div>\n<\/div>\n<\/div>\n<\/section>\n<\/div><\/div>\n<\/div>\n<p>NEW DELHI: In a big setback to online gaming firms facing show-cause notices for GST evasion of around Rs 2.5 lakh crore (with penalty), Supreme Court Wednesday upheld levy of 28% tax on the full face value of online gaming bets and validated rules under CGST for determining valuation of taxable supplies for lotteries, betting, gambling, horse racing and casinos.<span class=\"id-r-component br\" data-pos=\"2\"\/>Justices J B Pardiwala and R Mahadevan said there was no constitutional infirmity in levying GST on online games and declared it valid.<span class=\"id-r-component br\" data-pos=\"4\"\/>In June last year, court had stayed GST proceedings against 49 gaming firms over retrospective demand notices to them. It extended the protection granted to them for another three months.<span class=\"id-r-component br\" data-pos=\"6\"\/>In Oct 2023, GST Council had imposed 28% tax on full face value of online gaming bets. Gaming industry, however, has been asking for the tax to be calculated on gross gaming revenue rather than face value of bets. The companies had received show-cause notices alleging GST evasion of Rs 1.12 lakh crore. As GST Act allows for a penalty of up to 100% of tax demand, the total liability will add up to around Rs 2.5 lakh crore.<span class=\"id-r-component br\" data-pos=\"8\"\/><\/p>\n<div data-pos=\"0\" class=\"id-r-component iIpbx undefined  &#10;        \">\n<div><img decoding=\"async\" alt=\"Gaming cos face `2.5L cr hit as SC upholds GST\" msid=\"131361086\" width=\"\" title=\"28% Levy On Full Face Value Of Bets Valid: Court\" placeholdersrc=\"https:\/\/static.toiimg.com\/photo\/83033472.cms\" imgsize=\"\" resizemode=\"4\" offsetvertical=\"0\" placeholdermsid=\"47529300\" type=\"thumb\" class=\"\" src=\"https:\/\/static.toiimg.com\/photo\/msid-131361086\/gaming-cos-face-2-5l-cr-hit-as-sc-upholds-gst.jpg\" data-api-prerender=\"true\"\/><\/p>\n<p>28% Levy On Full Face Value Of Bets Valid: Court<\/p>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<p><br \/>\n<br \/><a href=\"https:\/\/timesofindia.indiatimes.com\/business\/india-business\/gaming-companies-face-rs-2-5-lakh-crore-hit-as-sc-upholds-gst\/articleshow\/131361082.cms\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>NEW DELHI: In a big setback to online gaming firms facing show-cause notices for GST evasion of around Rs 2.5 lakh crore (with penalty), Supreme Court Wednesday upheld levy of 28% tax on the full face value of online gaming bets and validated rules under CGST for determining valuation of taxable supplies for lotteries, betting,&#8230;<\/p>\n","protected":false},"author":1,"featured_media":19435,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[27],"tags":[],"class_list":["post-19434","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business"],"_links":{"self":[{"href":"https:\/\/saharanews.in\/index.php?rest_route=\/wp\/v2\/posts\/19434","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/saharanews.in\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/saharanews.in\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/saharanews.in\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/saharanews.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=19434"}],"version-history":[{"count":0,"href":"https:\/\/saharanews.in\/index.php?rest_route=\/wp\/v2\/posts\/19434\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/saharanews.in\/index.php?rest_route=\/wp\/v2\/media\/19435"}],"wp:attachment":[{"href":"https:\/\/saharanews.in\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=19434"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/saharanews.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=19434"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/saharanews.in\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=19434"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}