India Hopes To Collect IDR 26.9 Trillion From Online Gambling Company Taxes

JAKARTA - On Saturday, February 3, Revenue Secretary Sanjay Totaling that India hopes to raise up to 140 billion rupees (Rp26.9 trillion) in the upcoming fiscal year's goods and services tax (GST) by collecting taxes from online gambling companies.

The government in October imposed a 28% tax on funds raised by online gaming companies from their customers for each bet, surprising the $1.5 billion industry supported by global investors. The government defended the move, citing concerns about addiction.

"In the fiscal year ending March 31, the government will raise about 75 billion rupees from the tax,"village said in an interview, up from 16 billion rupees the previous year.

"The tax generated 35 billion rupees (Rp 6.6 trillion) in the October-December quarter," he said.

"This industry is stable, but it's too early to come to conclusions," he said. A review of the framework for taxing online gambling companies will take place in April, but that doesn't mean tax rates will be changed," he said.

The government's overall GST collection has averaged 1.7 trillion rupees per month, mitigating, "We expect an average monthly collection of 1.80 trillion to 1.85 trillion rupees from the next fiscal year.