Bombay HC provides respite to casino operator Delta Corp in Rs 16,000 crore tax shortfall dispute
The court order has put on hold the final orders of the Directorate General of GST Intelligence in an alleged tax shortfall of Rs 1,11,39,61,03,423.
CHENNAI: The Goa Bench of Bombay High Court on Monday gave respite to casino operator Delta Corp and its subsidiaries in the Rs 16,000 crore alleged tax shortfall dispute, by directing the Directorate General of GST Intelligence, Hyderabad, not to pass any final orders without prior permission of the court.
According to exchange filings by the company, the court order has put on hold the final orders of the Directorate General of GST Intelligence in an alleged tax shortfall of Rs 1,11,39,61,03,423 (eleven thousand crores) by Delta Corp.
It has also put a hold on further orders in Rs 3,289,94,41,744 (three thousand crore) and Rs 1,765,21,80,638 (thousand crore) alleged tax dispute for Highstreet Cruises and Entertainment Private Limited and Delta Pleasure Cruise Company Private Limited, respectively, both subsidiaries of Delta Corp.
The order came in response to the writ petition filed by the company and its subsidiary on the notice issued by the Hyderabad GST authorities regarding the alleged tax shortfall.
The Directorate General of GST Intelligence last month sent a notice to the company to pay tax liability of Rs 11,139 crore.
The amount claimed in the DG notice is based on gross bet value of games played at the casinos, among other things during the period from July 2017 to March 2022, according to the company.
Demand of GST on gross bet value has been objected to by the industry calling it arbitrary and contrary to law. Various representations have been made to the government regarding this.
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