Online Casinos in India: Legal Status in 2026

February 26, 2026

The Supreme Court has held betting on horse racing to be a game of skill and consequently entitled to the skill games exemption under the State Gaming Laws. In addition, there is a specific exemption for betting on horse races in most State Gaming Laws too. The states of Telangana and Andhra Pradesh in the recent past amended their respective State Gaming Laws by either diluting or removing the express exemption provided to skill games and imposed a blanket prohibition on all games played for stakes, including skill games and online games. Legal challenges to the amendments done to the Andhra Pradesh Gaming Act, 1974 (“Andhra Pradesh Act”)vii and the Telangana Gaming Act, 1974 (“Telangana Act”)viii are pending before the regional High Court and the Supreme Court, respectively.

Online Casinos in India: Legal Overview for 2026

The draft bill is also proposed to exempt “games of skill” and be brought under a licensing and compliance regime, with the Karnataka Online Gaming and Betting Regulatory Authority proposed to be the authority empowered to assess and distinguish between the two categories. Indirect tax in India is levied as a Goods and Services Tax (“GST”), which is leviable on all activities that are covered within the scope of the term “supply” and is levied either on the supply of goods or on the supply of services. In terms of recent amendments (which came into effect on 1 October 2023), GST at the rate of 28% is to be levied on the amount deposited with the supplier at the entry stage, which is taxed as supply of actionable claims in online money gaming and casinos (taxed as supply of goods). Foreign real-money gaming operators have to mandatorily register themselves through a simplified registration process to discharge their GST obligations. Tax authorities under GST laws are now empowered to block the platforms of non-compliant foreign operators. The answer is not straightforward, as India’s gambling laws are complex and vary from state to state.

Consequently, it was exempted from the prohibitions under the State Gaming Laws and was also protected as a legitimate business activity under the fundamental rights granted by the Constitution. Affirming this in a significant observation, the Supreme Court in Avinash Mehrotra v. State of Rajasthan held that the issue of legality of fantasy sports was no longer res integra as petitions challenging the legality have repeatedly been dismissed by the Supreme Court. However, it also noted that an appeal from the Bombay High Court judgment delivered in the case of Gurdeep Singh Sachar v. Union of India & Ors.

Gambling Laws and Regulations India 2026

Similarly, Goa and Daman permit the operation of land-based casinos, but the legal status of online gambling in these states remains unclear due to the absence of specific regulations. In the context of online gaming, states are gradually recognising the need for specific provisions to regulate the field and while some states of north-eastern India have preferred a licensing regime, some states of southern India have opted for bans. In most states, since it is difficult for a traditional police force to effectively act against online platforms if they do not have a physical place of business in a particular state, states are looking for ways to block such websites (see question 3.1 above).

Free Access

In other words, though there is appetite for enforcement, there are practical challenges to enforcement. Under the antiquated State Gaming Laws, the prohibitions of which are in relation to physical gaming houses, there has been constant enforcement action over time by the police and other law enforcement authorities in the respective states. Some states have specific anti-gambling provisions in their police law (such as Karnataka and Tamil Nadu) and hence this gives the local authorities more reasons to be proactive in enforcement. While certain State Gaming Laws/courts in certain states have specifically recognised poker as a game of skill, a few others have designated it as a “game of chance”.

Meanwhile, Sikkim and Nagaland allow some skill-based games like rummy to be played for real money online. If you’re considering playing online casino games, always prioritize legal compliance to protect yourself from unforeseen legal consequences. States like Goa and Sikkim have legalized certain forms of gambling, while states like Maharashtra and Andhra Pradesh have imposed strict bans. As India continues to grapple with the challenges and opportunities posed by online gambling, there is a pressing need for comprehensive regulation that balances consumer protection with economic considerations.

• Section 4 of the Information Technology Act provides legal recognition to electronic records and transactions, establishing the legal validity of online contracts and agreements.
• Foreign real-money gaming operators have to mandatorily register themselves through a simplified registration process to discharge their GST obligations.
• As far as the Online Gaming Rules are concerned, it may be argued that certain poker formats will not be hit by the restrictions thereunder if the OGI is able to make a case for its skill preponderance before the SRB.

Are Online Casino Games Legal In India

However, instead of laying down an objective criterion to distinguish games of skill from games of chance, courts in India have arrived at their determination based on the facts and circumstances of each case. The state of Nagaland has a licensing regime for skill games, with the Nagaland Act also including a list of recognised games of skill. Sikkim has a licensing regime for all online games – whether of chance or a combination of skill and chance. While there is no specific federal law addressing online gambling, certain states like Sikkim have legalized and regulated online gambling activities under state-specific legislation.

Gambling History and Future

In case of the BNS or the indibet mobile IRWA, the offences may be related to content of the games or its advertisements or violation of any prohibitions imposed by the BNS (such as the one on private lotteries). The content in the corresponding cell applies except the point on Nagaland, which would only apply to online games. The state of Sikkim permits sports betting under a licence provided it is only offered within Sikkim. India’s gambling history is marked by restrictive laws and regional variations in regulation. It began in 1867 with the Public Gambling Act, which banned most forms of gambling across the country.

What are some of the challenges associated with the legal ambiguity surrounding online gambling in India?

The future of online gambling regulations in India is characterized by ongoing debates, legislative initiatives, and enforcement efforts. Clear and comprehensive regulation, coupled with effective enforcement mechanisms, can promote responsible gaming practices and support the growth of the industry. In 2015, the Supreme Court of India ruled that games of skill, such as rummy, are exempt from the provisions of the Public Gambling Act.

In 2021, the state government of Tamil Nadu passed legislation banning online gambling, including games like rummy and poker. However, other states like Andhra Pradesh and Telangana have also introduced bills aimed at regulating online gambling and imposing restrictions on operators. Despite the current legal complexities, there is growing momentum towards regulating online gambling in India.

India is governed by complex laws, with the Public Gambling Act of 1867 being the primary legislation that prohibits most forms of gambling nationwide. To avoid legal consequences, always check your state’s laws, avoid large transactions, and only play on licensed platforms. As the regulatory landscape evolves, India may eventually move toward a uniform gambling law, providing more clarity to players.