Aftershocks or warning signs: Gaming firms on thin ice, slim margins

However, Dhruv Garg, a technology lawyer and head of the All India Gaming Federation, is of the view that smaller firms stand to be impacted the most

Following the Goods and Services Tax (GST) Council’s recent decision to levy 28 per cent tax on online gaming, horse racing, and casinos, immediate aftershocks were felt in the India’s gaming companies.

The shares of publicly listed gaming firms have already taken a tumble, while smaller companies are expected to be impacted the worst. Although discussions are still in initial stages, industry stakeholders are likely to urge the government to reconsider their decision, Business Standard has learned.

The effective tax rate, which will likely be rolled out after amendments are made to the GST law, is also expected to throw