Delta Corp shares rose over 7% to Rs 117.4 in Wednesday’s trade on the BSE after the Supreme Court agreed to hear the online gaming industry’s pleas against GST show cause notices on January 10, CNBC-TV18 reported.The industry has raised concerns about the notices issued by the Directorate General of GST Intelligence (DGGI), which have triggered a tax demand of Rs 1.12 lakh crore from 71 online gaming companies.The online gaming sector is contesting the GST show cause notices issued by the Directorate General of GST Intelligence (DGGI), which have led to a tax demand of Rs 1.12 lakh crore from 71 online gaming companies. Including penalties, the total demand could rise to Rs 2.3 lakh crore, putting pressure on the sector.Also Read: Choppy Q3 results could trigger some downgrades for India IncOnline gaming firms have been grappling over the payment of 28% GST instead of 18% for the period up to October 1, 2023. While the companies argue that 28 percent tax is applicable only starting October 1, the government is of the opinion that the October 1 revision only provided clarity to a law that was already in force. The government's stance is that the demand for tax dues is not retrospective in nature.The GST Council, in August 2023, amended the law to clarify that all online games involving bets, irrespective of skill or chance, would attract a GST rate of 28 percent on the full value of the bets placed, and not on the gross gaming revenue, from October 1.Following the decision, online gaming companies have been served with huge tax demands that experts say will likely kill the entire industry.Delta Corp technical indicatorsTechnically, the stock's relative strength index (RSI) is at 36.1. According to Trendlyne, an RSI below 30 is considered oversold, while above 70 indicates overbought conditions. Additionally, the MACD is at -1.8, which is below its signal and center line, this is a strong bearish indicator.The stock is trading below its 20-day, 30-day, 50-day, 100-day, 150-day, and 200-day simple moving averages (SMAs), while trading above 5-day, 10-day, SMAs.Also Read: 3 months of weakness: Can Q3 earnings revive auto stocks?Delta Corp shares performanceDelta Corp shares have declined 21% over the past six months and 59% over the last three years. The company’s market capitalization currently stands at Rs 3,066 crore.(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)