Income Tax Department releases brochure on Taxation on Online Gaming

By: Admin
April 26, 2024
Categories: Important News|Income Tax News
4 Min Read

The Income Tax Department has released a brochure on Taxation on Online Gaming.

Covers following:

Definition: Online gaming refers to games accessible via the internet on various devices.
Taxation: Section 115BBU of the Income-tax Act, 1961 imposes a 30% tax on net winnings from online gaming.
TDS: Section 194BA mandates a 30% TDS on net winnings, including withdrawals and bonuses, at the time of withdrawal or end of the financial year.
Calculation: Net winnings are computed based on withdrawals, deposits, and balances in user accounts, with specific rules for different scenarios.
Clarifications: The brochure provides detailed explanations on various aspects including TDS, withdrawals, and user account management for tax purposes.
The brochure can be accessed at: https://a2z-bucket.s3.ap-south-1.amazonaws.com/Taxation_on_online_gaming_