The Supreme Court has reserved its judgment in the ₹2.5 lakh crore GST dispute involving leading online gaming companies and casinos, a case that could redefine taxation on games of skill and chance in India. The verdict is expected to settle years of legal uncertainty in the RMG industry.
The Supreme Court is hearing the Centre’s argument that GST applies to online gaming regardless of whether it involves skill or gambling. The government stated that tax law is blind to the nature of the activity crime or otherwise.
The Allahabad High Court held that poker and rummy are games of skill, not gambling. The petitioner argued that the denial of permission was based solely on the presumption that these games might disturb public peace and harmony or be considered gambling.
