The recent online gaming ban has caused Nazara Technologies’ stock to drop sharply, largely due to its ₹832-crore investment in Pokerbaazi.
However, this development also raises important tax & compliance considerations:
📌 Key Insights for Investors & Businesses
1️⃣ GST Exposure on Online Gaming
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The government has been tightening GST rules on gaming platforms.
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If you’re invested in online gaming companies or earning income from such platforms, your GST liability may increase.
2️⃣ Investment Impact
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Nazara’s diversified portfolio cushions long-term risks, but short-term volatility is expected.
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If you hold such stocks, review your capital gains tax positions before booking profits or losses.
3️⃣ Tax Planning Opportunity
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If you have losses in gaming or related stocks, these can be set off against capital gains from other investments to optimise your tax liability.
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Proper reporting in ITR filings is crucial to avoid future notices.
Our Recommendation
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Investors → Hold existing positions; avoid fresh entries until there’s clarity on GST and regulatory norms.
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Business Owners in Gaming/IT → Review your GST compliances and ensure proper tax planning.
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Clients with Gaming Income → Contact us to evaluate tax exposure and structure your filings accordingly.
We are monitoring these regulatory changes closely and will keep you updated.
For personalised portfolio & tax guidance, feel free to reach out.
Best Regards,
CA. Rahul Gupta
📞 Contact our Business Advisors at 9888071715
