Flutter invests $3.5m in its Indian project
Flutter Entertainment has opened a multi-functional workspace in Hyderabad, India.Flutter is an international sports betting and gambling company, founded in 2016. Till...
India will not change its gambling tax of 28%
India’s Goods and Services Tax Council (GST) will not change the country’s 28% turnover tax for horse race betting and online gambling.
India’s decision to review its gambling tax hike, introduced in October 2023, reflects the significant changes in the industry since then. According to Finance Minister Nirmala Sitharaman, from November to April, online gambling revenue rose by 412%, reaching ₹6909 crore ($823 million). Land-based casino revenue also rose by 30%, totaling ₹1214 crore ($25.5 million).
Despite these increases, concerns about the taxes remain actual. Stakeholders had warned that a high tax rate might hurt the sector, and a recent report from EY and the US-India Strategic Partnership Forum indicates that although the Indian gaming sector has attracted $2.6 billion in foreign direct investment since 2019, no new capital has been raised since the tax changes.
Economist and former Indian government official Dr. Aruna Sharma previously commented:
“The heavy taxation is likely to be passed on to the players.”
Rajat Bose, partner at Shardul Amarchand Mangaldas & Co. Advocates & Solicitors, said:
“The online gaming industry was eagerly looking forward to the GST council meeting in the hope that their concerns will be addressed by council.”
The Goods and Services Tax (GST) Council, which includes Sitharaman and representatives from all Indian states and territories, has the authority to set tax rates and administrative procedures. New regulations for online gambling, including independent self-regulatory bodies, were introduced in January 2023 to better manage the sector.
FAQs
Is gambling legal in India?
In India, gambling is regulated and varies by state.
What is the legal gambling age in India?
The legal gambling age in India is 21.
What is the current tax rate for horse racing betting and online gambling in India?
India has a 28% turnover tax for horse race betting and online gambling.
Share:
Indian iGaming market has sustainable growth potential
According to a recent report, the Indian iGaming market is expected to add INR 140 billion to tax revenues and create 150,000 more jobs (US$1.68 billion) within 2024-2025...
