The Indian government is considering a proposal to impose a 28% Goods and Services Tax (GST) on online gambling activities. This potential tax hike has raised significant concerns among operators about its impact on the industry’s growth and profitability. The proposed GST aims to bring more regulatory oversight and generate additional revenue for the government, but it has sparked a debate over its possible effects on the burgeoning online gambling market.
Industry stakeholders argue that a high GST rate could discourage both operators and players, potentially stifling innovation and growth in the sector. The tax proposal comes at a time when the online gambling market in India is experiencing rapid expansion, driven by increasing internet penetration and the rising popularity of digital gaming platforms. Operators are advocating for a more balanced approach that supports industry growth while ensuring adequate regulatory oversight.