New Delhi: The Supreme Court, on Thursday, upheld the imposition of Goods and Service Tax (GST) on the sale of lotteries.
A three-judge Bench of Justices Ashok Bhushan, R Subhash Reddy, and MR Shah ruled that the Central Goods and Services Tax Act, 2017 and the notifications issued under the same bringing lottery and gambling under GST net are valid.
The petition filed by lottery dealer, Skill Lotto Solutions had contended that the lottery cannot be classified as “goods” as has been done by the Central government.
Instead, they can be only considered as “actionable claims” and lottery tickets by themselves are “pieces of paper devoid of any value”.
The Centre had imposed a GST of 12 percent on the sale of lotteries within the same State and 28 percent if they were sold in other States.