India Moves to Ban All Online Gambling Amid Tax Increase
UPDATE: India is on the brink of enforcing a complete ban on all forms of online gambling, with the Cabinet recently approving the Promotion and Regulation of Online Gambling Bill. Should this legislation be enacted, it will immediately disrupt established sectors including sweepstakes and social casinos, as well as skill-based gaming.
This urgent move comes just days after the introduction of a significant tax increase, raising the goods and services tax on gambling from 28% to 40%. The proposed bill includes severe penalties for violators, with operators facing up to three years in prison and fines reaching as high as $100,000.
Authorities have mandated the removal of gambling advertisements across all platforms, including television, radio, and social media. Furthermore, banks will be required to impose stringent restrictions on monetary transactions related to gambling, effectively cutting off financial avenues for players.
Despite the increasing crackdown, many question why India is intensifying its stance against the gambling industry while unregulated operators continue to thrive in the market. Critics argue that a blanket ban could empower the black market, pushing players toward illegal options instead of fostering a regulated environment.
Even if the complete ban does not materialize, the looming tax hike could pose a significant threat to the industry. India’s approach raises concerns as other jurisdictions, like the Netherlands, have experienced a deterioration in player protection measures following similar actions.
As the situation develops, the Indian government is faced with crucial decisions that could reshape the gambling landscape in the country. Observers are keenly watching for further announcements that could impact millions of players and the industry as a whole.
Stay tuned for the latest updates on this developing story, as the implications extend far beyond financial penalties, affecting livelihoods and the very structure of online gaming in India.
