Are Online Casinos Legal in India? State-by-State Guide (2026)

Online real-money casino platforms cannot be legally offered or promoted in India under the Promotion and Regulation of Online Gaming Act, 2025. The law targets operators, advertisers and payment facilitators who promote online gambling rather than individual users.

Players are not specifically criminalised for playing on online casino or betting platforms, as the current law does not create a direct offence for participation.

As this activity takes place outside a legally recognised framework, without any consumer protection, payments may be restricted, and disputes cannot be resolved under Indian regulatory mechanisms.

And because of the limited options for consumer protection, CricketBatPro provides players with a complaint submission and tracking platform to resolve issues with sportsbooks and online casinos.

Role of State Gambling Laws

In India, historically, the regulation for all types of gambling laws has been governed by state regulation or the Public Gambling Act, 1867. Most of these state laws catered to the regulation surrounding physical gambling activities such as land based casinos and betting within the state boundaries.

As a result, the laws for gambling have varied across states where some permitted casinos and others had prohibited it.

The introduction of the central framework for online gambling does not remove or reduce the relevance of state laws. Instead, the two operate in different spheres.

The central law governs the offering and promotion of real-money online gaming across India, whereas the state laws are more focused towards the physical gambling space. States that have already enacted stricter legislation regarding online real money games can apply more aggressive enforcement measures, such as website blocking, payment restrictions or local prohibitions on access.

State-by-State Online Gambling Status in India

State laws regulate physical gambling activities, whereas the central law governs the real-money online platforms. The table below shows how the legal and enforcement environment varies across states.

Do State Laws Still Matter for Online Gambling?

Even though the central government applies to all states where real money online games are offered, the state gambling laws provide broader enforcement clarity. The original state laws intended to regulate physical gambling activities such as gaming houses, betting and land-based casinos within state boundaries and in the case of Telangana, Andhra Pradesh, Karnataka and Tamil Nadu, also online gambling.

States that have specific restrictions on online games played for money have adopted stricter enforcement measures where the sites have been blocked and local access or financial transactions linked to such activities have been restricted.

This means that the national law determines the legal status of real-money online platforms, while state legislation still has an influence over how actively restrictions are implemented at the local level.

Understanding both layers helps explain why the practical risk environment can differ across states even though the central prohibition on operators applies uniformly.

Land-Based Casinos vs Online Casinos in India

Land-based casinos operate under state-specific licensing frameworks that are legally permitted only in certain jurisdictions – Goa, Sikkim and the Union Territory of Daman and Diu. These physical casinos function within a regulated environment where the state authorities and regulators enforce  licensing conditions, operational rules and local enforcement mechanisms.

Online casino platforms do not fall under these state licensing systems. The central law for online gaming prohibits the offering and promotion of real-money online gambling services across India, and state permissions for physical casinos do not extend to internet-based operations. As a result, the legal treatment of land-based and online casinos differs significantly.

Do Players Face Penalties for Online Gambling?

The current central law which was introduced in 2026 targets operators, promoters and payment intermediaries instead of individual users. There is no specific provision for players using an online casino or online sports betting platform in India.

However, this does not make online gambling a permitted or regulated activity for users. Players do not receive statutory consumer protection, and disputes over withdrawals or account balances cannot be resolved through Indian regulatory authorities.

Taxation on winning

Players should also note that winnings from online casinos or betting platforms remain taxable under Indian income tax law. Under Sections 115BBJ and 194BA, net winnings are taxed at a flat 30% rate, with TDS deducted by the platform at the time of withdrawal or at the end of the financial year. These winnings must be reported in the Income Tax Return even if the player is not otherwise required to file, as online gaming income is treated as “Income from Other Sources.”

You can our use the tax guide for online gambling in India to learn more

Conclusion: Legal Status of Online Casinos in India (2026)

Online casinos operate outside a regulated legal framework in India where the central law has prohibited operators, advertisers and payment intermediaries, while players are not directly criminalised.

However, users do not receive consumer protection, dispute resolution or guaranteed payment support, which increases practical risk.

State laws still affect enforcement while most focus on physical casinos, some states apply stricter measures such as website blocking and payment restrictions, creating different risk environments despite the nationwide rules for operators.

Land based casinos are legally permitted only in Goa, Sikkim and Daman and Diu under state licensing, and these permissions do not apply to online platforms.

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