In August 2023, India's Goods and Services Tax (GST) Council announced that all real money wagers placed at licensed iGaming sites, including online casinos, sports betting sites and other similar sites, will now levy a 28% tax at full value (collected by the operator).
According to estimates, a properly regulated iGaming industry in India is expected to grow into a $5 billion industry over the next two years alone (by 2025), with a compounded annual rate of growth of up to 30%. However, others aren't so optimistic.
The new ruling is likely to be implemented at the start of October 2023. Here is a closer look at how India's new 28% Goods and Service Tax might affect online gaming and casinos.
What does the new 28% GST ruling mean for real-money gambling sites?
The new ruling means that there will be no differentiation between games of chance and games of skill.
At the time of writing, online casino operators and other iGaming operators (the iGaming industry encompasses real-money gambling sites, including everything from online casinos and sports betting sites to lottery/bingo sites and dedicated poker sites) pay an 18% GST to the government, which is levied on the GGR (Gross Gaming Revenue).
A 30% Tax Deducted at Source (TDS) is also deducted from the winnings. With the new ruling, players will have to cough up 28% GST on the amount they have deposited on games of skill and chance (Rs 28 per Rs 100 spent playing their favourite online games or each sports bet placed) AND still bear the brunt of the 30% TDS on net winnings.
How will this affect the iGaming industry in India?
Some experts have predicted that the new ruling will force players to look for offshore gambling sites that are controlled by foreign companies and operated from outside Indian jurisdiction.
In other words, the government could lose a huge chunk of revenue from the iGaming industry. These offshore gambling sites that accept real cash wagers from Indians are the main companies that look set to benefit the most from the new decision.
Other more dire predictions have suggested that it could mark the beginning of the end of the iGaming industry in India. It has been labelled as a huge setback for players. Operators have also stated that the new 28% GST will negatively affect their businesses in more ways than one.
Apart from the obvious, it will be harder for these companies to invest in new games, and it will have a huge impact on them being able to expand their business due to the reduction in cash flow. It will also likely lead to a spike in job losses and unemployment.
What are the most trusted Indian real-money gambling sites I can sign up to in 2023?
There are currently over 15 trusted online casinos to choose from in India, and many of these sites also offer live dealer games and sports betting services.
To find out more about today's best Indian online sports betting casinos, one of the most trusted review sites you can turn to in 2023 is the official TopBookies website.
The dedicated team of expert researchers on this website has carefully selected the following trusted sites, all of which are controlled by trustworthy operators with excellent reputations.
These top Indian real-money gambling sites accept Indian Rupees and welcome numerous convenient and secure Indian online payment options.
They can be accessed from smartphones, tablets, laptops and desktop computers and are free to sign up to. Examples include the following great sites:
- PureWin Casino
- PariMatch Casino
- Lucky Spins Casino
- 10CRIC Casino
- Betway Casino
- Dafabet Casino
- Glassi Casino
- Casino Days
- Blue Chip Casino
Other trusted sites include 22Bet, BetTilt, 1XBet and Cricbaba Casino. You can learn more about these trusted Indian online casino sites in each review. Secure links to each website's official sign-up page can also be found inside the reviews.
Final note
If you do sign up to a licensed Indian online casino, the most important thing to remember is to have fun and stay safe. You can do so by setting a budget before you start, placing sensible bets, taking regular session breaks, and never chasing your losses.
There are also many other ways to gamble responsibly, such as learning the rules of games before playing, practicing playing certain games in the free-play demo mode before playing in the real money mode, and never playing casino games or placing sports bets out of sheer necessity.
Disclaimer: The above is a sponsored post, the views expressed are those of the sponsor/author and do not represent the stand and views of Outlook Editorial.
