Online Betting Apps Under Fire — Indian Cabinet Clears New Bill with Higher GST, Celebrity Scrutiny

The Indian government has approved the long-awaited Online Gaming Bill, a sweeping measure aimed at tightening regulations on online betting apps. Spearheaded by Prime Minister Narendra Modi, the bill is set to be introduced in the Lok Sabha today, marking a decisive step against unregulated gambling platforms.

Why this matters now — Over the past few months, India has seen a surge in fraud cases linked to betting apps. Several celebrities have even been questioned by investigative agencies over endorsements of such platforms, highlighting the growing scale of the problem.

Key Provisions of the Online Gaming Bill

♦ 40% GST on online gaming → replacing the earlier 28% rate introduced in October 2023.

♦ Strict penalties for endorsements → celebrities and influencers promoting betting apps face heavy fines and legal action.

♦ Ban on unauthorized betting games → apps offering illegal or unlicensed gambling services will be prohibited outright.

The bill, expected to roll out by Diwali 2025, is designed to make India’s online gaming space safer, accountable, and transparent.

The Scale of Online Gambling in India

♦ 140 million users actively participate in online betting.

♦ 370 million users engage during major events such as the Indian Premier League (IPL).

♦ $100 billion has reportedly been deposited on illegal betting platforms, according to a Digital India Foundation report.

These staggering figures underline the urgent need for regulation to curb addiction and protect users from financial fraud.

What’s Next?

The bill will now be debated in Parliament. If passed, it could transform India’s online gaming industry, imposing compliance costs on companies while safeguarding consumers from predatory practices.