Online casinos are becoming very popular in India. After the COVID-19 lockdowns, more people started playing games and betting online for fun and excitement. But one big question is still on everyone’s mind: Is online casino legal in India?
Many people are confused because some websites are available, while others are blocked. Some states allow online gambling, and others have strict bans. The rules are different everywhere, and not everyone knows what’s legal and what’s not.
That’s why our expert team at Winzap decided to do a full, state-by-state breakdown of the current laws in India. We’ve done the research, so you don’t have to. In this guide, you’ll learn what the law says, where you can play legally, what to avoid, and what changes might come in 2025.
If you’re curious about online casinos or just want to know the truth before you play, this article is for you.
Let’s make things clear and simple, once and for all
Quick Summary: Is Online Casino Legal in India?
- Online casinos are not illegal at the federal level; there’s no central law banning them outright.
- Each Indian state can independently regulate or ban online gambling.
- Some states like Sikkim, Goa, and Nagaland allow it (with licenses).
- Others like Telangana, Andhra Pradesh, and Tamil Nadu have stricter or outright bans.
Indian Gambling Law: Key Acts You Should Know
Before we talk about state-wise rules, let’s first understand the key laws that shape how gambling (including online casino, sports fantasy and online betting) works in India. These laws were made at different times and for different reasons. Some are very old and were not designed for online gaming at all.
1. Public Gambling Act, 1867
This is one of the oldest laws, made way back during British rule. It says you can’t run or visit a physical gambling house. But here’s the catch, it doesn’t talk about the online (internet), because it was written long before the online world existed.
Because of this, each Indian state uses this act in its own way to decide whether to allow or ban online gambling. That’s why rules are different across the country.
2. Information Technology Act, 2000
This law handles everything that happens online in India, like websites, apps, and data. But again, it doesn’t mention online casinos or betting games. This creates confusion among users.
Because of this gap, state governments have to step in and decide how to treat online gambling. Some allow it with conditions, while others ban it completely.
3. Prize Competitions Act, 1955
This act was created to control games that are based on winning prizes through chance or skill, like lucky draws, lotteries. It was mostly meant for offline setups like trade shows or local contests.
It does not give a clear rule about online casinos, so they remain in a legal grey area when this act is used.
4. GST on Online Gaming
Here’s something interesting. Online casinos and gaming companies are taxed under India’s GST law. This means the government treats them like any other business.
But just because they’re taxed doesn’t mean they are legal in every state. Few states still ban them, even if the company pays taxes. That’s where the confusion increases.
Skill vs. Chance: The Legal Distinction That Matters
One key legal distinction in India is between games of skill and games of chance:
- Games of Skill: Considered legal in most states (like poker and rummy).
- Games of Chance: Usually fall under the gambling category (like roulette, slots, etc.) and are often restricted.
Courts have ruled that skill-based games can be legally offered online, but games of pure chance can be regulated or banned by states.
State-Wise Legal Status of Online Casinos in India (2025)
States Where Online Casinos Are Legal or Regulated
- Sikkim: The first state to license online gambling. Regulated and legal under the Sikkim Online Gaming (Regulation) Act.
- Goa: Allows land-based casinos; online gambling is legally grey but generally tolerated.
- Nagaland recognizes skill-based games under license.
- Meghalaya: Introduced laws to regulate online games.
States That Have Banned Online Gambling
- Telangana: Banned all forms of online gambling and betting.
- Andhra Pradesh: Amended its law in 2020 to include online gambling in its ban.
- Tamil Nadu: Imposed a ban, which has faced legal challenges but remains largely in place.
- Kerala: Took a strong stand against online rummy and similar games.
States with Grey Areas or No Specific Law
- Maharashtra: Follows the Bombay Wager Act — online gambling exists in a grey area.
- Delhi, Punjab, Rajasthan, Karnataka: No specific laws; users can access offshore casino platforms but may face uncertainty.
- Uttar Pradesh, Bihar, MP: No clarity; enforcement is inconsistent.
Are Offshore Online Casinos Legal in India?
Many Indian users play on international platforms like Winzap, Stake, Betway, 1xBet, and Leo Vegas. These casinos operate offshore and accept Indian players.
While not technically banned, these platforms exploit the legal vacuum. Players should:
- Choose platforms with a valid gaming license (Malta, Curacao, etc.)
- Use safe payment methods like UPI or crypto
- Be aware that withdrawals could be taxed
The Indian government is working on frameworks for foreign platforms, but no nationwide ban exists yet.
Recent Developments in 2025: What’s Changed?
- Draft Online Gaming Regulations: The Ministry of Electronics and IT proposed that self-regulatory bodies certify games.
- Increased GST Scrutiny: All online gaming platforms are under stricter tax compliance.
- Public Interest Litigations (PILs): Filed in multiple states demanding bans or regulations, especially around teen access.
These developments show the Indian government is moving toward regulating rather than banning the online casino industry.
Legal Risks and Penalties for Players
- If you play in a state where online gambling is banned, you may face fines or prosecution.
- States like Telangana and Andhra Pradesh have arrested online gambling app promoters.
- For most states without specific laws, individual users are rarely targeted, but platforms may be.
Always check your state’s law before signing up.
Why Users Are Still Betting Despite Legal Confusion
- Access to offshore platforms
- High smartphone penetration
- Attractive welcome bonuses
- Limited enforcement in many regions
Until there’s national clarity, users will continue using loopholes and grey zones to access online casinos.
Benefits of Legalizing Online Casinos in India
- Increased Tax Revenue
- Better Player Protection
- Curb Illegal Gambling
- Job Creation in Tech and Compliance
- Economic Boost from Foreign Investment
Countries like the UK, Malta, and even some US states have successfully regulated online gambling. India could benefit from similar models.
Drawbacks and Concerns Around Online Gambling
- Addiction among youth
- Fraudulent platforms targeting users
- Money laundering risks
- Lack of consumer dispute redressal
That’s why a robust, transparent legal framework is essential.
FAQs: Online Casino Legality in India (2025)
Is online casino legal in India?
It depends on the state. There’s no national ban, but individual states have their own rules.
Which states allow online casinos?
Sikkim, Nagaland, Meghalaya, and Goa allow or regulate online gambling to some extent.
Can I use international casino sites from India?
Yes, many users access offshore sites. But legality depends on your local laws.
Will I get punished for playing online casino games?
In states where it’s banned, possibly. In most others, enforcement is weak or nonexistent.
How can I stay safe while gambling online?
Use licensed platforms, secure payments, and understand local laws.
Conclusion
The question of Is online casinos are legal in India doesn’t have a simple yes or no answer. The reality is shaped by a patchwork of state laws, outdated central acts, and the rise of offshore platforms.
At Winzap, our expert legal and content team believes that a centralized and transparent legal framework will benefit both players and regulators.
Until then, it’s essential to play responsibly, understand your state’s laws, and use secure, licensed platforms.
Stay updated with Winzap for future legal developments, reviews, and expert insights on India’s fast-growing online gaming ecosystem.
