GST notices worth Rs 1.12 trillion on online gaming companies stayed

The Supreme Court on Friday stayed show-cause notices on goods and services tax (GST) against online gaming companies, stating that further proceedings under these be suspended until there was a definitive resolution.

The tax amount in question is Rs 1.12 trillion.

The court also ordered consolidating the cases, with the next hearing set for March 18.

At the core of this dispute is whether GST applies to online gaming. The government insists that a 28 per cent GST should apply to the contest entry amount, which effectively taxes the entire prize pool.