DGGI issues show cause notice to Sikkim & Goa casinos

According to , casino operators in Goa and Sikkim are saܫid to have evaded Goods and Services Tax (GST) to the tune of a whopping Rs. 6,500 cror🌄e.

According to the news report, a covert operation was launched by officers belonging to the Hyderabad team 🔴of the Director General of GST Intelligence (DGGI), based on an anonymous tip-off received in March 2019, wherein department officers conducted undercover surveys on five casinos in Goa and on𒐪e in Sikkim over the course of two months.

The GST officials, after conducting extensive inquiry have come to the conclusion that casinos in the country have undervalued GST transa🤪ctions by paying tax on the ne🌄t revenues instead of the face value of the bet.

They also claim that the casinos have undervalu🐼ed transactions by splitting casino and non-c🦄asino services.

DGGI Hyderabad zone chief Bal♍aji Mazumdar told TOI that the inspection carried out by the department was very successful.

Officials also 🧜claim that show cause notice has been issued to the casinos to respond to the allegations ဣof violating GST provisions.

Tax experts however believe that the computation of tax on the fac🔜e value of bet runs contrary to logic and can൩ be challenged in courts on variou🐲s grounds.