India, April 29 -- Fintech major Paytm's online gaming subsidiary First Games Technology Pvt Ltd has received a tax demand notice to the tune of INR 5,712 Cr, excluding interest and penalty, from the Delhi zonal unit of the Directorate General of GST Intelligence (DGGI).

In a filing with the exchanges, the fintech giant said that the show cause notice pertains to the department's view that GST liability for online gaming platforms should be calculated at 28% of the total entry amount as against 18% GST being paid on platform fee.

First Games offers rummy, fantasy sports, ludo and fantasy cricket to its customers. The demand notice pertains to the period between January 2018 and March 2023.

"Show Cause Notice to First Games under sectio...