54th GST Council Meeting: No Change in Tax Rates for Online Gaming, Casinos and Race Courses

The 54th meeting of the GST Council concluded with a decision to maintain the existing tax rates on online gaming, casinos, and racecourses. Despite lobbying by industry stakeholders to reconsider the 28% GST levy on such activities, the Council decided to retain the current rates. Finance Minister Nirmala Sitharaman stated that while the concerns of the gaming industry were noted, the government remains committed to ensuring that these sectors are properly taxed. The 28% tax on the full face value of bets or participation fees has been a point of contention, especially for the online gaming industry, which argues that such high taxation could stifle growth. Nonetheless, the Council’s decision signals its intent to uphold revenue collection priorities and maintain regulatory clarity.