The Goa government has issued a Goods and Service Tax (GST) notice for an amount of Rs 1,752.38 crore to Delta Corp Limited and its subsidiary Highstreet Cruises and Entertainment for the financial year 2022-23.
According to an official communication dated March 17, the Office of the Commissioner of Commercial Taxes, served notices under Section 74(1) of the CGST Act, 2017 and the Goa GST Act, 2017. Of the total demand, Rs 1,350.25 crore has been levied on Delta Corp, while Rs 402.12 crore has been issued to its subsidiary.
The notices allege short payment of GST, primarily on the basis of the estimated gross bet value of all games played at the casinos during the period. This approach has been a contentious issue, as casino operators have consistently argued that GST should be levied on gross gaming revenue (GGR) rather than total bet value.
Delta Corp, in a regulatory filing, termed the demand “arbitrary and contrary to law,” stating that it will pursue all legal remedies to challenge the notices.
The company has also pointed out that similar tax demands for the period between July 2017 and March 2022 are currently under litigation before the Supreme Court, which has stayed further proceedings in those cases until final adjudication.
The fresh notices are expected to have wider implications for Goa’s casino industry, which has been grappling with regulatory uncertainty over GST calculations. Delta Corp remains the only listed player in India’s casino gaming segment, with interests spanning offshore casinos, online gaming, hospitality, and real estate.
