Gambling laws in India - by state

Short: how the system works

In India, gambling is mainly the competence of the states. The inherited federal law Public Gambling Act 1867 prohibits "public gambling" and "gaming houses," but states can adopt their own acts, allowing or restricting certain formats. Therefore, the legal regime is very different from state to state.

In addition, at the national level there are:

IT rules 2023 (MEITY) for online games: introduce the category "online real-money games" and the mechanism of self-regulatory organizations (SRO); many responsibilities come after the formal appointment of an SRO, as explicitly indicated by rule 4B.
GST: From October 1, 2023, the reform will tax online games for money, casinos and horse racing at a rate of 28% (on "face value"), according to CBIC notifications. (Later revisions are possible, but the base rate started from this date.)

Map of states and union territories: where what is allowed

Goa, Daman and Diu

Offline casinos: allowed on ships/offshore and in a number of objects under amendments to the local law Goa, Daman and Diu Public Gambling Act, 1976.

Sikkim

One of the first states with a mode for online games (geographically limited within the state) according to Sikkim Online Gaming (Regulation) Act, 2008 and Rules 2009. Server/content certification required, age barrier 18 +, geo-restriction.

Nagaland

Online Skill Game Licenses under the Nagaland Prohibition of Gambling and Promotion and Regulation of Online Games of Skill Act, 2015/2016. Gambling (chance) is prohibited, skill games are regulated and licensed.

Tamil Nadu

In 2022/2023, The Tamil Nadu Prohibition of Online Gambling and Regulation of Online Games Act was adopted: a rigid framework for online games for money (RMG), including Aadhaar verification, time/betting/age limits, advertising restrictions. On June 4, 2025, the Madras High Court upheld the constitutionality of key provisions of the law.

Telangana

A complete ban on online games for money, including skill games, is amended by the Telangana Gaming (Amendment) Act, 2017 - the definition of "gaming" has been expanded to online formats for betting.

Andhra Pradesh

From 2020 Andhra Pradesh Gaming (Amendment) Act, 2020: ban on online games for money; The media regularly report on detours and clandestine applications that law enforcement officers are fighting.

Karnataka

The attempt at a general ban in 2021 was overturned by the Karnataka High Court on February 15, 2022 (the ban "skill gaming with stakes" was declared unconstitutional). In 2025, the state is discussing a new rigid framework - there is a wave of initiatives and litigation.

Kerala

In 2021, the High Court overturned a state order that tried to ban online rummies for money, citing "game of skill" precedents.

Meghalaya

In 2021, a law on the regulation of games was adopted, but canceled: first - by Decree (31. 12. 2022), then the Repeat Act of May 4, 2023 finally lifted the licensing regime.

💡 Note: A number of other states have classic "anti-spark" acts that allow exceptions (lotteries, racetracks/horse racing bets, fantasy sports, etc.). Details vary and change quickly; an up-to-date local opinion is required before entering the market.

What counts as "skill" and what counts as "excitement"

Indian jurisprudence has historically distinguished between games of skill and games of chance. This distinction formed the basis of the Nagaland regimes and a number of High Court (Kerala, Karnataka) solutions. But in some jurisdictions (Telangana, Andhra Pradesh, updated Tamil Nadu) - even skill games when betting may be subject to prohibitions/severe restrictions.

Online rules: What's important for operators to know

1. IT frame 2023 (MEITY). For online games, the duties of intermediaries/platforms, the mode of "permissible games" through SRO are established; part of the requirements is tied to the actual purpose of at least three SROs (rule 4B). In practice, in 2024-2025 there was a search for the SRO model and the coordination of powers.

2. GST from 01. 10. 2023 - 28% on actionable claims (online money games, bets, casinos) - on CBIC notices and clarifications. Planning a unit economy without taking into account this norm is a typical mistake.

3. Upcoming changes. At the federal level, a new rigid framework for RMG is periodically discussed (including the draft national law/rules 2025). We treat them like projects until the final texts are published.

Difference Table (Summary)

Jurisdiction	Offline casino	Online Casino/RMG	Features
Goa, Daman and Diu	Allowed by local law (incl. offshore)	In general, there is no general admission	Historic Casino Tourism Cluster.
Sikkim	Yes (by individual norms)	Online game mode with geo-restriction to the state	Server certification, 18 +.
Nagaland	—	Online Skill Game Licenses	Skill ≠ gambling by state law.
Tamil Nadu	—	Strict law on RMG; confirmed by court 04. 06. 2025	Aadhaar-KYC, limits, advertising.
Telangana	—	Banning online games for money, including skill	2017 amendments.
Andhra Pradesh	—	Banning online games for money	Amendments 2020 + active suppression.
Karnataka	—	Ban 2021 canceled by the courts (2022); new initiatives are underway	Keep an eye out for topical legal disputes.
Kerala	—	The ban "rummy online for money" canceled by the court (2021)	Refers to precedents about "skill."
Meghalaya	—	Licensing introduced in 2021, canceled in 2022-2023	The Repeal Act went into effect.

💡 Definitions of "casino "/" online games "and exact lists of allowed verticals differ; use local counseling and fresh state notices.

Practical road map (for RMG/online operator)

1. Legal mapping: identify target states, presence of bans/licenses, geo-restriction/server requirements. (Sikkim/Nagaland - special rules; Telangana/AP - strict bans.)

2. IT compliance: content policy, moderation, due diligence according to IT rules 2023, readiness for the SRO model.

3. Taxes and finance: model taking into account 28% GST on face value + separate accounting, anti-fraud and KYT.

4. RG/advertising: age barriers, limits, warnings, prohibition of "guaranteed winnings," control of affiliates; comply with local advertising bans. (The courts confirmed Tamil Nadu's tough approach.)

Check sheets

For business

Checked the status of the state (ban/license/skill-exception).
Compliance with IT-Rules 2023 (public policies, complaints, KYC, parental controls if required).
Accounted for GST 28% and reporting flow.
Control of affiliates/creatives in hard states (TN, etc.).

For the players

Check what state you are in and what is allowed there.

Check if the platform has a legal basis in your state (license/exception) and correct KYC procedures.

Avoid "off stor" and "mirror" apps - this is a frequent fraud scheme (especially in states with bans like AP).

Frequent company mistakes

It is impossible to "extrapolate" the regime of one state to the whole of India.

Ignore IT rules 2023 and wait for "when SRO will be appointed" - some of the responsibilities are already in effect.

Consider that skill play is automatically allowed everywhere - in Telangana/AP this is directly limited by law.

Plan unit economics excluding 28% GST.

India is a mosaic of states with their own rules. The basic picture is as follows: Goa/Daman and Diu - offline casinos; Sikkim/Nagaland - regulations for online (geo-restriction/skill games); Tamil Nadu - RMG's "tight" control confirmed by the court; Telangana and Andhra Pradesh - outright bans on online games for money; Karnataka and Kerala are precedents in favour of "skill," but politics is changing. On top of this are nationwide IT rules and 28% GST from 01. 10. 2023. If you are an operator - start with legal mapping by state and build the product around compliance, RG and taxes; if you are a player, make sure you are playing legally in your jurisdiction.