Cabinet Clears Gaming Regulation Bill As Centre Moves To Curb Online Betting
Online Gaming Bill India: The upcoming legislation is not just a regulatory framework but also reportedly carries provisions for strict penalties.
The Union Cabinet has given the green light to a proposed online gaming bill, according to ABP News sources. The bill is aimed at reining in betting platforms that have seen a surge in popularity, and controversy, across the country. It is reportedly expected to be introduced in the Lok Sabha on Wednesday for discussion. The move follows a noticeable rise in fraud cases linked to betting apps in recent months, with investigative agencies also zeroing in on celebrities who endorse such platforms.
Penalties And Punishments On The Cards
Reports suggest that the upcoming legislation is not just a regulatory framework but also carries provisions for strict penalties. Punishment has been proposed not only for operators but also for individuals promoting or advertising betting apps.
This push comes ahead of the festive season, with the government also likely to bring in a 40 per cent Goods and Services Tax (GST) on the sector during the Diwali period.
Previous Tax Measures On Online Gaming
This is not the first attempt by the Centre to impose tighter financial discipline on the online gaming space. In March 2023, steps were announced to regulate both monetary transactions and user data safety across digital platforms, including online betting and gaming apps. The government has repeatedly underlined the risks posed by such platforms, from financial losses to criminal misuse.
Further, the Finance Act 2023 already introduced a 30 per cent income tax on net winnings from online games, applicable from the assessment year 2024-25. To add to this, starting October 1, 2023, a 28 per cent GST was brought into effect for online gaming, creating one of the strictest tax regimes for the sector globally.
Government’s Aim To Rein In Industry
The upcoming bill signals the government’s determination to bring order to a largely unregulated industry that has grown at breakneck speed in India.
The focus is to safeguard consumers, curb financial fraud, and ensure a transparent system for taxation. If passed in Parliament, the new framework could redefine how online betting and gaming platforms operate in the country.
Inputs from Pavan, ABP News
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