Delta Corp saw its shares jump by up to 7 percent on January 10, following a Supreme Court decision to pause ₹1.12 lakh crore in GST show cause notices issued to online gaming companies. This temporary halt has brought a much-needed breather to the gaming sector, with proceedings suspended until a final verdict on March 17. By midday, Delta Corp shares were trading over 4 percent higher at ₹118.16 on the NSE, reflecting market optimism fueled by the ruling. The gaming industry has been grappling with 71 GST show cause notices, stemming from alleged tax evasion during 2022-23 and early 2023-24. These notices, issued by the DGGI, demand a staggering ₹1.12 lakh crore, with potential penalties pushing the figure to ₹2.3 lakh crore. The issue traces back to August 2023, when an amendment to the CGST Act imposed a 28 percent tax on the “full face value” of gaming entry amounts, retroactively applied from 2017. This sparked widespread challenges, with companies contesting the hefty demands. The Karnataka High Court had earlier annulled a ₹21,000 crore notice against Gameskraft in May 2023, but the Supreme Court stayed this ruling in September, keeping the sector in limbo. Analysts suggest that the government and companies interpret the GST rules differently. While businesses argue the 28 percent rate applies from October 2023, the government contends the amendment merely clarified pre-existing tax liabilities, leading to the massive notices.