Kerala: Amid tussle with state govt, Governor signs ordinance amending state GST law

Thiruvananthapuram: Kerala Governor Arif Mohammed Khan signed an ordinance on Friday that amends the state's GST law regarding gambling, while the continuing conflict in the state between Raj Bhavan and the Left government. Sources from Raj Bhavan confirmed Khan's signature on the ordinance. Khan had already come under fire from the Supreme Court for postponing several bills that the Kerala state assembly had passed.

Following a decision at the 50th Goods and Service Tax (GST) Council meeting to impose a 28 percent GST on gambling at casinos, horse racing, and online gaming, as well as to impose the tax on the face value of the bet, the state government issued the necessary law. Subsequently, the central government notified the amendment to the GST Act.

The state government had previously said that the changes were made to the state's GST law in conformity with that.

The government had previously stated that the ordinance has provisions to clear up some of the uncertainties in the current GST law about betting for money, including betting at casinos, online, and on horse races.

The Governor had previously sent seven bills passed by the State Assembly to the President for assent. The Lokayukta Bill, Universities Act Amendment Bill (two bills), Chancellor Bill, Co-operation Act Amendment Bill, Search Committee Expansion Bill and Co-operation Bill (MILMA) have been sent for presidential assent.

The Bills have been waiting for seven to twenty-three months, senior attorney KK Venugopal had told the top court. Under Article 168, the Governor was a member of the State Legislature. The Governor could not act in a way that was contrary to the wishes of the elected representatives of the people.