NEW DELHI: Ministry of Information Technology is generating one consolidated view on skill games and this will percolate to all ministries and across states, said Rajeev Chandrasekhar, the Minister of state for electronics and information technology.. This was stated by him at a meeting with top executives and founders from gaming companies, on Tuesday. The meeting was called to discuss India's draft online gaming rules.

This statement is paramount in the backdrop of the Directorate General of GST Intelligence slamming a 28% GST notice on Bangalore-headquartered Gameskraft. GST @28 % is applicable on games of chance, and the skill gaming industry pays 18 % GST on the commission.

While sending Gameskraft a notification, the Finance Ministry refused to acknowledge this distinction. The Karnataka High Court awarded an interim remedy to Gameskraft after the company challenged this in court.

Indian internet gaming companies have also suffered since several governments do not perceive the difference between skill-based and chance-based games. Currently, states like Assam, Andhra Pradesh, and Telangana do not permit skill-based games.

A measure to outlaw online skill games has been put forth in Tamil Nadu. The Ministry of IT's action will bring clarity to games of skill and give this expanding industry the much-needed regulatory stability.

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