The Ministry of Electronics and Information Technology said that online gaming is virtual, boundaryless and part of the internet ecosystem and therefore, it has the power to regulate it.
The $3-billion Indian online gaming industry caught the eye of the world. But the 28 per cent GST on real-money gaming has brought its dream run to a screeching halt
The $3-billion Indian online gaming industry was growing smartly. Then came the onslaught in the form of the 28 per cent GST from the government. What this has done is throw the gaming industry which has also spawned unicorns into disarray, with many of them looking to downsize in the wake of the tax burden that they feel makes their operations unviable. - Issue Date: Oct 29, 2023
India’s $3-billion online gaming industry was growing smartly, with reports pegging it at $8.6 billion by FY27, growing at a CAGR of 27 per cent. But the GST Council’s decision to bring all real-money online gaming under a blanket 28 per cent GST has slammed the brakes on its growth. Can these firms emerge from this massive crisis, or will they fold under the burden? Find out in the latest issue of BT. Plus, read about the renewed IPO activity seen in the equity markets, and the reasons behind it. Also find an interview with Irdai chief Debasish Panda, who talks about the insurance regulator’s focus and plans. All that and more in the latest issue of BT. Grab your copy today.
The government of India has already made the framework to ban three kinds of games, and will soon be implementing it. Online games will now have to be cleared by certain SROs or Self Regulatory Organisations, within 90 days from the announcement of the regulations