The Good and Services Tax (GST) authorities may initiate fresh tax demand notices to 40 gaming companies, said a news report. The news comes close on the heels of GST council’s decision to levy a uniform 28% tax for online gaming.

According to the report, the move could incur liabilities that may amount to Rs 10,000 crore for the 40 gaming companies. The authorities are also reportedly awaiting clarity from the GST council on taxing the gaming firms.

The decision to levy 28% uniform tax for online gaming is based on the interim report prepared by the Group of Ministers who together form the GST Council.

The report proposed a 28% GST on the total amount, including the platform fee. This means that GST will be applicable to gross revenue or the total prize pool.