<p>A 28 per cent Goods and Services Tax (GST) will be levied on lotteries from March 1, according to a notification.</p>.<p>The GST Council had in December last year decided to impose a single rate of 28 per cent on state-run and authorised lotteries.</p>.<p>The revenue department notified the GST rate on supply of lotteries and amended its earlier Central Tax (Rate) notification.</p>.<p>Accordingly, the Central Tax rate for supply of lotteries has been amended to 14 per cent and a similar percentage will be levied by the states.</p>.<p>This will take the total GST incidence on lotteries to 28 per cent.</p>.<p>"This notification shall come into force on the 1st day of March, 2020," the revenue department notification said.</p>.<p>Currently, a state-run lottery attracts 12 per cent GST, while a state-authorised lottery attracts 28 per cent tax.</p>.<p>There were demands that a uniform tax rate should be imposed on lotteries following which a group of ministers were set up to suggest the GST rate. Following this, the GST Council in December voted for a single rate of 28 per cent on supply of lotteries.</p>.<p>AMRG & Associates Senior Partner Rajat Mohan said: "Gambling in the form of Lottery has been allowed in a few states, where it has penetrated at grass root levels, now changing the tax rate from a prospective date would help the dealers in effectively implementing the new tax rate".</p>.<p>EY Tax Partner Abhishek Jain said a uniform rate on lottery brings a parity between state-run and authorized lotteries; thereby aligning an equal footing for businesses in the same line.</p>
<p>A 28 per cent Goods and Services Tax (GST) will be levied on lotteries from March 1, according to a notification.</p>.<p>The GST Council had in December last year decided to impose a single rate of 28 per cent on state-run and authorised lotteries.</p>.<p>The revenue department notified the GST rate on supply of lotteries and amended its earlier Central Tax (Rate) notification.</p>.<p>Accordingly, the Central Tax rate for supply of lotteries has been amended to 14 per cent and a similar percentage will be levied by the states.</p>.<p>This will take the total GST incidence on lotteries to 28 per cent.</p>.<p>"This notification shall come into force on the 1st day of March, 2020," the revenue department notification said.</p>.<p>Currently, a state-run lottery attracts 12 per cent GST, while a state-authorised lottery attracts 28 per cent tax.</p>.<p>There were demands that a uniform tax rate should be imposed on lotteries following which a group of ministers were set up to suggest the GST rate. Following this, the GST Council in December voted for a single rate of 28 per cent on supply of lotteries.</p>.<p>AMRG & Associates Senior Partner Rajat Mohan said: "Gambling in the form of Lottery has been allowed in a few states, where it has penetrated at grass root levels, now changing the tax rate from a prospective date would help the dealers in effectively implementing the new tax rate".</p>.<p>EY Tax Partner Abhishek Jain said a uniform rate on lottery brings a parity between state-run and authorized lotteries; thereby aligning an equal footing for businesses in the same line.</p>