Delta Corp Limited and its subsidiary have received significant GST notices from Goa tax authorities, marking another chapter in the ongoing taxation disputes facing India's casino industry. The notices, dated March 17, 2026, pertain to Financial Year 2022-23 and allege substantial tax shortfalls.

GST Notice Details

The Office of the Commissioner of Commercial Taxes, Government of Goa has issued notices under Section 74(1) of the CGST Act, 2017 and Goa GST Act, 2017 to both Delta Corp Limited and its subsidiary. The financial impact of these notices is substantial:

Core Dispute: Gross Bet Value vs Gaming Revenue

The notices allege short payment of GST based on the estimated gross bet value of all games played at the casinos during the relevant period. This represents a fundamental disagreement over the tax base for casino operations. The demand for GST on gross bet value, rather than gross gaming revenue, has emerged as a significant industry-wide issue affecting multiple casino operators.

Various representations have been made to the Government at an industry level to address this taxation methodology, highlighting the broader implications beyond individual companies.

Legal Precedent and Supreme Court Stay

Delta Corp and its subsidiary have previously challenged similar demands for the period from July 2017 to March 2022. Significantly, the Hon'ble Supreme Court of India has stayed further proceedings of all impugned notices for this earlier period until the final disposal of the petitions before it.

This Supreme Court intervention provides important legal context for the current notices, as it demonstrates the judicial system's recognition of the complexity and significance of these taxation disputes.

Company's Legal Response

Delta Corp has received legal advice characterizing the notices and tax demands as arbitrary and contrary to law. The company has announced its intention to pursue all available legal remedies to challenge the tax demands and related proceedings.

The disclosure was made under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, ensuring transparency with stakeholders regarding this material development.

Delta Corp has published newspaper advertisements on March 17, 2026, in Financial Express (English) and Loksatta (Marathi) regarding its Extraordinary General Meeting scheduled for April 9, 2026, at 3:00 PM IST. The company's board of directors, during their meeting held on March 10, 2026, had approved the convening of this EGM to seek shareholder approval for significant related party transactions involving its subsidiary companies.

Regulatory Compliance and Publication Details

The newspaper publication was made in compliance with Regulation 30 and Regulation 47 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The notice was signed by Dilip Vaidya, Company Secretary & Vice President - Secretarial (FCS NO.7750), and digitally signed on March 17, 2026, at 12:15:40 +05'30'.

Meeting Schedule and Format

The EGM will be conducted entirely through digital means via Video Conferencing and Other Audio Visual Means, allowing shareholders to participate remotely. The company has set specific timelines for the e-voting process and shareholder participation.

Key Agenda Items for Shareholder Approval

The EGM will address two critical corporate matters involving Delta Pleasure Cruise Company Private Limited (DPCCPL), a wholly owned subsidiary, and Waterways Shipyard Private Limited (WSPL), an associate company.

Ship Building Contract Modification

The first resolution seeks approval for modifying an existing ship building contract between DPCCPL and WSPL. The original contract, entered into in June 2021, requires enhancement due to cost escalations and additional requirements.

Corporate Guarantee Authorization

The second agenda item involves authorization for DPCCPL to provide a corporate guarantee for WSPL's proposed loan facility.

Shareholder Participation Guidelines

Members wishing to express views or ask questions during the EGM must register as speakers by sending requests along with questions from their registered email IDs, mentioning their name, DP ID and Client ID/Folio No., PAN, and Mobile No. to secretarial@deltin.com on or before Monday, March 23, 2026. The company reserves the right to restrict the number of speakers depending on time availability for the EGM.