GST on Online gaming: Ashneer Grover asks why BCCI allowed to take Dream11 as title sponsor

Continuing his banter against the Centre's decision to impose a 28 percent tax on funds that online gaming companies collect from their customers, Ashneer Grover pointed out that even Virat Kohli, MS Dhoni and Sourav Ganguly endorse online gaming. He asked that with even BCCI accepting fantasy sports platform Dream 11 as its title sponsor, "why judgement on online gaming now?" 

"You (the government) got billions in from foreign investors as FDI. Celebrated FDI inflow! Now the same investors will apply regulatory risk discount to India and funds will dry up. Not only for online games -- but across sectors. Across startups," Grover tweeted. "Tech founders are dispensable -- that’s the only truth. In future, all tech companies will be based in Dubai/Singapore. As an operator Indian regulatory risk makes no sense to put one’s own effort -- forget raising external capital for it!" 

Grover runs his own fantasy gaming platform Crickpe.

Hours after the government announcement on Monday, Grover said the new tax will murder the fantasy gaming industry and that it's time for entrepreneurs to enter politics or this will keep happening. 

"RIP - Real money gaming industry in India," he tweeted. "If the government is thinking people will put in Rs 100 to play on Rs 72 pot entry (28 percent gross GST); and if they win Rs 54 (after platform fees), they will pay 30 percent TDS on that -- for which they will get a free swimming pool in their living room the first monsoon - it's not happening!" 

"It was good fun being part of the fantasy gaming industry -- which stands murdered now. $10 billion down the drain in this monsoon," Ashneer Grover said referring to his own company Crickpe which allowed users to create virtual teams of the best in-form real players and earn points depending upon their actual performance.