Key law
Promotion and Regulation of Online Gaming Act, 2025
In force
Act and Rules from 1 May 2026
Banned
All online money games, whether of skill or chance
Permitted
E-sports and online social games
Penalty for offering
Up to 3 years in prison and/or fine up to INR 1 crore
Payments
Banks and payment providers barred from processing online money games
Land-based
Casinos legal only in Goa, Sikkim and Daman
Legal framework at a glance
Gambling has traditionally been a state subject in India, governed by the Public Gambling Act 1867 and state laws that distinguished games of skill, generally permitted, from games of chance, generally prohibited. That distinction allowed a large real-money gaming industry in fantasy sports, rummy and poker to develop, while some states banned online gaming outright.
The Promotion and Regulation of Online Gaming Act, 2025 changed the landscape nationally. Passed by the Lok Sabha on 20 August 2025 and the Rajya Sabha on 21 August, and assented on 22 August, it imposes a blanket prohibition on “online money games”, meaning games played for money stakes, regardless of skill. It also promotes e-sports and online social games. The government notified the Rules on 22 April 2026, and the Act and Rules took effect on 1 May 2026.
The regulator
The Online Gaming Authority of India, established under the 2026 notifications and operating under the Ministry of Electronics and Information Technology (MeitY), determines whether games are money games, registers e-sports and social games, and issues directions. The Act also provides for an appellate mechanism. Law enforcement agencies investigate offences.
Licensing
There is no licence for online money gaming. Platforms offering e-sports or social games may be registered and must comply with the Authority’s directions. See gambling licensing models.
Online products — what is and isn’t legal
| Product | Status |
|---|---|
| Online casino, betting, poker, rummy, fantasy for money | Prohibited |
| E-sports | Permitted and promoted |
| Online social games (no money stakes) | Permitted |
| State lotteries | Permitted in some states |
| Land-based casinos | Goa, Sikkim and Daman only |
Taxation
Before the ban, online gaming deposits were taxed at 28% GST on full face value from October 2023, and net winnings were subject to 30% tax deducted at source. With online money games prohibited, these taxes now mainly concern past liabilities and disputes. See gambling taxation compared.
Advertising and marketing rules
Advertising or promoting online money games is an offence, punishable by up to two years’ imprisonment and/or a fine of up to INR 50 lakh. This applies to media, influencers and celebrities. See gambling advertising rules.
Player-protection requirements
Protection now centres on prevention: banning money games, stopping payments and removing advertising. Offering online money games carries up to three years’ imprisonment and/or a fine of up to INR 1 crore, with higher penalties for repeat offences, and company officers can be personally liable. Banks and payment service providers have obligations not to process transactions for online money games. See self-exclusion in India for practical blocking steps.
Enforcement against unlicensed operators
The government has used blocking powers under information technology law against illegal betting and gambling sites and apps, and the new Act adds criminal offences and payment restrictions. Offshore betting operators promoted through messaging apps remain a significant problem. See payment blocking and ISP blocking.
What this means for players
Since 1 May 2026, any platform offering money stakes on games, sports or cards to people in India is operating illegally, whatever licence it claims abroad. Former Indian real-money gaming companies have either shut down money games or pivoted to free-to-play and e-sports formats. Offshore betting sites continue to target Indian users, often through Telegram and WhatsApp groups, influencer promotions and surrogate advertising, and they may take deposits through intermediaries or cryptocurrency. Users of these sites have no regulator to complain to and face a high risk of fraud and refused withdrawals.
Families worried about someone’s gambling should focus on practical barriers, such as payment controls and device blocking, alongside professional support. Reports of illegal apps and advertisements can be made through the national cybercrime reporting portal. See spotting unlicensed and black-market operators, crypto gambling risks and managing money after gambling harm.
Key penalties under the 2025 Act
| Offence | Maximum penalty |
|---|---|
| Offering online money games | 3 years and/or INR 1 crore fine |
| Advertising online money games | 2 years and/or INR 50 lakh fine |
| Non-compliance with Authority directions | Penalty up to INR 10 lakh, plus suspension or cancellation of registration |
| Repeat offences | Enhanced penalties with mandatory minimums |
Land-based gambling and lotteries
The 2025 Act does not change state laws on physical gambling. Casinos remain legal only in Goa, Sikkim and Daman, horse-racing betting is permitted at licensed racecourses as a game of skill under long-standing court rulings, and several states run or authorise lotteries under the Lotteries (Regulation) Act 1998, while others ban them. Online versions of these products are caught by the ban on online money games unless specifically exempted. See gambling licensing models.
Recent developments and what to watch
- Court challenges: challenges by former real-money gaming companies were transferred to the Supreme Court in 2025; their outcome could affect how the ban applies.
- Enforcement: how effectively blocking and payment rules reduce offshore betting.
- E-sports: the development of the e-sports and social gaming framework.
For support services, see the India help directory. This page is general information, not legal advice.
Regulatory timeline
1867
Public Gambling Act sets the colonial-era base for state gambling laws.
2023
28% GST on the full face value of online gaming deposits takes effect in October.
2025
Promotion and Regulation of Online Gaming Act passed by Parliament on 20–21 August and assented on 22 August.
2025
Supreme Court takes over challenges to the Act from several High Courts.
2026
Rules notified on 22 April; Act, Rules and the Online Gaming Authority of India take effect on 1 May.
Step-by-step
How to self-exclude in India
None (online money gaming prohibited) · minimum Not applicable
Support
Helplines & treatment in India
5 organisations listed
Disclaimer: This profile summarises the law as we understand it at the review date. It is not legal advice; gambling laws change frequently — confirm with Online Gaming Authority of India (under MeitY) or a qualified lawyer.