No you are confusing GST with Direct Income tax. The Income tax on winnings from any type of game comes under winning from lotteries board games etc. No matter if it's a skilled game or an unskilled one. TDS is being implemented on this type of incomes in digital space. GST reduction on the other hand would mean the fees that you'll pay while purchasing these games will become cheaper as the GST rate on it would fall.
Thanks for clearing my confusion, in the end my conclusion is that whatever you do the government wants to tax you. We still are not getting taxed for breathing
. May be in the future it might be happen
.
There are basically 2 types of games which are luck based games and skill based games.
Luck based games does not require and effort and it's just more of guessing the outcome such as playing a dice game.
All other games are skill based games and requires some kind of skill and effort to win the game such as playing poker or any other cards game.
What about non Gambling games? There are many games that regularly conduct tournaments. Like free fire, Call of duty , Carrom and etc. I have read and heard that they do organise regular tournaments. The winners do get cash rewards, so does that mean the same tax slab is also applicable. If yes, then the government is not helping the gaming industry.