Gaming industry proposes new GST levy formula to government

The online gaming industry has suggested a new formula to the government for levy of 28 per cent GST on its activities, mainly seen as a measure to protect its interests, as per reports.

On July 11, the GST Council, headed by Finance Minister Nirmala Sitharaman, had decided to levy the highest slab of 28 per cent GST on the full value of money paid by users to play skill-based games, without any differentiation between games of skill and chance.

As of now, there is an 18 per cent GST levy on gaming platforms.

The decision has come as a rude shock for the gaming industry, which, in an open letter to the government, has urged it to reconsider the decision.