Kerala has opposed the proposal to raise the Goods and Services Tax (GST) on lottery tickets from 28% to 40%, warning it could hit the State lottery system and the livelihoods of thousands.
Finance Minister K.N. Balagopal said the steep hike would seriously impact over two lakh agents, vendors, and their families who depend on lottery sales. He stressed that such a move could destabilize the Kerala State Lotteries, a major revenue source for the State.
Balagopal raised the concern during the Group of Ministers’ meeting on GST reforms, urging the Centre to reconsider. He cautioned that increasing the tax burden would not only harm sellers but also disrupt social welfare programmes funded through lottery revenues.