Delta Corp files Writ petition to Bombay HC for Rs 16,195 crore GST demand notices case

25 Oct 2023 , 11:28 AM

The Bombay High Court has directed the Goods and Services Tax (GST) authorities not to make final rulings regarding the GST demand letters issued to casino operator Delta Corp without first seeking permission from the court, according to a stock market filing on Tuesday.

The Directorate General of GST Intelligence, Hyderabad, has warned Delta Corp and its two companies High Street Cruises and Entertainment Pvt Ltd and Delta Pleasure Cruise Company Pvt Ltd of an alleged tax deficiency of Rs 16,195 crore.

The Bombay High Court’s Goa bench heard the writ case brought by the corporation and its subsidiaries on Monday.

The Sikkim High Court issued a stay on a Rs 628 crore GST demand order against Delta Corp the previous week. In September 2023, the DG GST Hyderabad filed three demand letters against the corporation, including one for over Rs 628 crore for the deficiency of tax paid by Delta Corp Limited in respect to the Sikkim-based Casino Deltin Denzong.

So far, the government has made a total GST demand from the Delta Corp group of roughly Rs 23,000 crore, including the recovery of tax shortfalls for casino and internet gambling enterprises

Deta Corp stated in its financial performance report dated October 11 that the business and its two subsidiary companies had received show cause letters for alleged short payment of Goods and Services Tax (GST) of Rs 16,822.98 crores from July 1, 2017 to March 31, 2022.