- New GST Tax on Lotteries: A new GST rate of 28 Percent will be applicable to state-run and authorized lotteries
- The GST Council, led by Finance Minister Nirmala Sitharaman, had in December last year decided to increase the rate as well as implement a single rate for lotteries. Buyers of tickets for lotteries would now have to shell out 28 percent.
- The GST rate on supply of lotteries has been amended to 14 percent and a similar percentage will be levied by the states. As a result, total GST on lotteries will increase to 28 percent.
New GST Tax on Lotteries: A 28% Goods and Services Tax (GST) will be levied on lotteries from March 1, according to a notification. Last year in December, the GST Council had decided to impose a single rate of 28 percent on state-run and authorized lotteries.
Accordingly, the Central Tax rate for supply of lotteries has been amended to 14 percent and a similar percentage will be levied by the states. This will take the total GST incidence on lotteries to 28 percent.
The GST Council, led by Finance Minister Nirmala Sitharaman, had in December last year decided to increase the rate as well as implement a single rate for lotteries. Buyers of tickets for lotteries would now have to shell out 28 percent.
AMRG & Associates Senior Partner Rajat Mohan said: “Gambling in the form of Lottery has been allowed in a few states, where it has penetrated at grass root levels, now changing the tax rate from a prospective date would help the dealers in effectively implementing the new tax rate”.