Union Budget 2023 Online Gaming and Esports Sector – Esports Industry experts expect the inclusion of GST and other Taxation Laws for prize pools and other financial aspects: The Indian Gaming space is one of the most vital sectors in this dominant digital era. Being the fastest-growing esports market globally, the Government of India appointed the AVGC promotion task force in the annual budget last year. The last quarter of 2022 also witnessed decisions focusing on regulation in the online gaming domain and the appointment of MeITY as the nodal Ministry.
With the government actively participating and shaping up the gaming scenario, it is all set to contribute heavily to the economy. According to reports, the Indian gaming industry has been growing at 28-30% CAGR. InsideSport exclusive caught up with a few Industry individuals to share their thoughts. Here’s what they had to say.
Union Budget 2023 Online Gaming and Esports Sector: Esports Industry experts expect the inclusion of GST and other Taxation Laws for prize pools and other financial aspects, CHECK DETAILS
Jai Shah, Co-Founder, of Orangutan Gaming
“Esports has just been recognized by the Indian government as a part of multi-sport events. It is still necessary to build a framework for the laws and regulations governing GST and other taxation laws pertaining to prize pools and other financial aspects of the industry. Furthermore, the government ought to provide a structure for the industry because esports is commonly grouped with other games and real money gambling.”
Abhishek Aggarwal, Co-founder, and CEO, Trinity Gaming India
The end of 2022 saw major decisions in the industry, recognition of esports as a core sport, appointment of MeiTY as a nodal ministry for online gaming, and policies by the AVGC. These decisions will be vital in the growth of the creator economy and influencers. With the budget right around the corner, we look forward to seeing developments around taxation and regulation of the esports industry. The coming budget and year will be important for the industry.
With India being on the cusp of a digital revolution, the AVGC sector is considered to be a powerhouse and contribute to the country’s growth. Due to its immense potential, the previous year’s budget witnessed our Hon’ble finance minister addressing the AVGC as a sector with huge employment opportunities for the youth. With the recent developments regarding the policies and appointment of a nodal ministry, we look forward to another annual budget with a positive outcome for the AVGC sector.
Union Budget 2023 Online Gaming and Esports Sector: Esports Industry experts expect the inclusion of GST and other Taxation Laws for prize pools and other financial aspects, CHECK DETAILS
Bharat Patel, Chairman, and Director, Yudiz Solutions Ltd.
With the speeding technological innovations, the first priority for the center should be establishing a task force for cybersecurity and increasing spending in that area. Recognizing the growth of lucrative sectors such as Metaverse, Gaming, and Blockchain we also need to focus on skill development, start with basics, institute infrastructures, and keep exploring the sectors broadly. The AVGC (Animation, Visual Effects, Gaming, Comics) sector should get a tremendous boost as there is huge scope.
Our country has the expertise and talent to become proficient in the game development category and publish those games on a global level. The concepts and ideas should be inspired by our mythological stories like Amar Chitra Katha, Mahabharata, Ramayana, etc. We have the talent, concepts, and capability to utilize advanced technologies, just need a little push from the government bodies to acknowledge it and take necessary decisions.
Since the rise of technologies like Metaverse, Gaming, and Blockchain, people have learned and started investing in associated areas with those technologies interestingly. The AVGC policy introduced by our respected Financial Minister will lay a path for organizations like us to synergize such technologies for providing scalable solutions in Animation, Gaming, AR/VR, and much more.
There are around 250 million gamers across the globe, the size of the global animation market has crossed 400 million US dollars, and there are more than 50 million VR and 90 million VR users. All these numbers evidently direct towards the growth of respected sectors and I am delighted to hear our next budget is going to focus on those areas. Establishing a task force clearly hints at how important it is for us to move ahead, utilizing these modern technologies.
So, we are only a few hours away from the Union Budget 2023 Which will take place on 1st February. Make sure to stay tuned for further updates.
