A bill to promote and regulate the online gaming sector—including e-sports, educational games, and social gaming—and to establish an Authority for coordinated policy support, strategic development, and regulatory oversight, is set to be introduced in the Lok Sabha on Wednesday.
The Promotion and Regulation of Online Gaming Bill, 2025 is likely to be tabled by Electronics and Information Technology Minister Ashwini Vaishnaw. The bill has been listed in the Lok Sabha’s agenda for the day.
It proposes to prohibit the offering, operation, facilitation, advertisement, promotion, and participation in online money games through computer resources, mobile devices, or the internet, especially where such activities span across states or originate from foreign jurisdictions.
The legislation aims to protect individuals—particularly youth and vulnerable groups—from the adverse social, economic, psychological, and privacy-related impacts of such games. It also seeks to encourage the responsible use of digital technologies, uphold public order, safeguard public health, and preserve the integrity of financial systems and national security.
Vaishnaw had earlier informed Parliament that the government’s policies focus on ensuring an open, safe, trusted, and accountable internet for users. He highlighted steps already taken to regulate financial transactions and data protection on digital platforms, including online gaming.
To bring clarity on taxation, the Finance Act, 2023 introduced a 30% income tax on net winnings from online games, effective from the assessment year 2024–25. Additionally, from October 1, 2023, online gaming has been brought under a 28% GST. Suppliers of online money gaming are required to obtain a single registration under the Simplified Registration Scheme of the Integrated GST Act, 2017, with offshore suppliers also falling under its purview. (Agencies)