The Karnataka Government under the Finance Department issued a notification on 30th January, 2024, presenting a series of amendments made to the Karnataka Goods and Services Tax Act, 2017. The amendments cover various aspects related to online gaming, online money gaming, specified actionable claims, virtual digital assets, and transitory provisions.
The Act introduces definitions for online gaming and online money gaming, emphasizing the offering of games on the internet or electronic networks and the inclusion of virtual digital assets. It also defines “specified actionable claim” to encompass betting, casinos, gambling, horse racing, lottery, and online money gaming. Furthermore, the Act includes provisions for the supply of online money gaming from outside India to individuals in India, and it repeals the Karnataka Goods and Services Tax (Amendment) Ordinance, 2023 while providing for transitory provisions and savings.
Additionally, the amendments stipulate that the imposition of tax on casinos, horse racing, and online gaming does not regularize the said trade or provide immunity from criminal action for any crime committed in the course of the same. Overall, the amendments are aimed at expanding the scope of the Karnataka Goods and Services Tax Act, 2017, to incorporate new forms of gaming and digital assets, while also providing guidelines for transitory provisions and repealing previous ordinances.
