The petitioner, Skill Lotto Solutions Pvt. Ltd., filed a writ petition challenging the constitutional validity of the imposition of Goods and Services Tax (GST) on lotteries under the Central Goods and Services Tax Act, 2017 and the Integrated Goods and Services Tax Act, 2017. The petitioner contended that the inclusion of “lottery, betting, and gambling” within the definition of “goods” under Section 2(52) of the CGST Act was arbitrary and violative of Article 14 of the Constitution. It was argued that lottery transactions are in the nature of actionable claims and do not constitute “goods” or “services” for taxation purposes.

The Supreme Court upheld the validity of the GST levy on lotteries. It held that the definition of “goods” under Section 2(52) of the CGST Act validly includes actionable claims other than money and securities, which covers lottery transactions. The Court ruled that lottery, betting, and gambling are actionable claims and that Parliament has the legislative competence to impose GST on such transactions under Article 246A of the Constitution. The writ petition was dismissed, with liberty granted to the petitioner to pursue remedies available in law. All pending applications, including those for intervention and impleadment, were also disposed of.