Fantasy sports platform Dream 11 has withdrawn its plea before the Bombay High Court which had challenged show cause notices issued by the authorities for the alleged evasion of Goods and Services Tax (GST) amounting to over ₹1,200 crore, exclusive of interest and penalty..The notices alleged that Dream 11 had evaded paying the 28 per cent GST levied for providing gambling services to users during the financial years 2017-18 and 2018-19.The company had challenged the notices before the High Court..On Wednesday, additional government pleader Jyoti Chavan informed the Court that the Deputy Commissioner of the State tax department has now withdrawn its show cause notice.Chavan further informed that the Directorate General of GST (DGGST) was going to the send a fresh show cause notice instead. In view of this, Dream 11 withdrew its petition..A similar plea had also been filed by another online gaming company, Playerzpot Media. Notices were issued to this company demanding an amount of ₹532 croresas GST with interest and penalty. Through a petition filed through Khaitan & Co, Playerz argued that the notices gave retrospective effect to amendments to the GST Act that fixed a tax on online fantasy sports services at the rate of 28 per cent. However, this amendment was effective from October 1, 2023, and could not have been applied retrospectively, the company contended.It also challenged Section 15(5) of the Central GST Act, claiming that it was arbitrary as it suffered from excessive delegation. Section 15(5) gives power to officers to fix the value of supplies for taxation purposes on the recommendation of the GST Council..In this case, a Bench of Justices GS Kulkarni and Jitendra Jain has issued notice to Attorney General R Venkataramani in view of the challenge to the constitutional validity of Section 15(5) of the CGST Act.Advocate Jitendra Mishra, appearing for the DGGST, assured the Court that the department would hold its hands and not pass any orders on the demand notices, provided the petitioners participate in the proceedings. The Court recorded this statement and posted the matter for hearing after six weeks. .Advocates Bharat Raichandani briefed by a team from Khaitan & Co including Partners Sudipta Bhattacharjee and Onkar Sharma, principal associate Harsh Makhija, senior associates Arjyadeep Roy and associate Anishka Gupta appeared for Playerzpot.