High taxes, selective bans drive 30% growth in illegal online gambling in India, says study
online gaming platforms is acting as a driver of illegal betting and gambling activity in India which is expected to grow at 30% in coming years, according to a new study.
According to Delhi-based policy think tank Centre for Knowledge Sovereignty (CKS), in India, despite regulatory restrictions, the illegal better market receives an estimated $100 billion per annum in deposits.
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Offering CollegeCourseWebsiteIndian School of BusinessProfessional Certificate in Product ManagementVisitIndian School of BusinessISB Product ManagementVisitIIT DelhiCertificate Programme in Data Science & Machine LearningVisitIndependent statistics suggest that this market grew at 7% CAGR from 2012 to 2018 and is expected to grow at an annual rate of 30% in the coming years, CKS said in a whitepaper.
“India’s existing legal framework for online gaming is markedly inadequate… (and) provides a conducive environment for the operation of illicit gambling and betting entities,” said Vinit Goenka, Founder Secretary, CKS.
He added that illegal operators are taking advantage of the new tax regime which levies 28% tax on deposits on legitimate gaming platforms.
“They are deceiving consumers into joining and participating on their platform on the pretext of exemption from any GST or taxation obligations,” he said.
According to recent estimates, online gaming companies registered under the new GST regime have contributed INR 3,500 crores in the October-December quarter, CSK said in the
