Legal Status of Online Betting in India: What Satbet Users Should Know

The question of the legality of online betting in India is one that cannot be answered in a single word. The legal framework here is complex: there are federal regulations, state regulations, and, since 2025, a new central law has also come into force, which is currently being challenged in the Supreme Court. For users of platforms such as Satbet India, this means it is worth understanding the rules before you top up your account. Below is a detailed analysis of the current situation, without oversimplification.

How Gambling Regulation Works in India: The Basic Structure

To understand what is happening in 2026, we need to start with the fundamentals. Gambling in India is a matter for the states, not the central government. This is enshrined in the Constitution: Entry 34 of List II of the Seventh Schedule grants each state the right to decide independently what to do about betting and gambling within its territory.

Because of this, the situation in the country can be described as a patchwork quilt. In Goa, land-based casinos operate – both in hotels and on ships. Sikkim also has casinos, but these are for tourists only; local residents are not allowed to enter. Kerala permits lotteries. In contrast, in Andhra Pradesh, Telangana and Tamil Nadu, strict bans are in place, which also extend to online activities.

For a long time, the federal benchmark was the Public Gambling Act 1867 – a colonial-era law drafted to combat physical gambling establishments. The internet, of course, is not mentioned in it. Many states still rely on this Act, sometimes with amendments, sometimes without. It is precisely this legal uncertainty that created the so-called ‘grey area’ in which international online platforms operated for many years.

The 2025 Act: What Has Changed and What Remains Unclear

In August 2025, an event took place that significantly altered the landscape of online gambling in India. Parliament passed the Promotion and Regulation of Online Gaming Act (PROGA), and the President signed it into law. This Act introduces a single federal framework for all online games of chance, something that did not previously exist.

The essence of the law is as follows: any online game involving real money or its equivalent with the expectation of a win falls under the restrictions. Moreover, it does not matter whether the game is based on skill or luck – if it involves a monetary stake and the possibility of a reward, it falls under the scope of PROGA. This affects not only casinos and betting platforms, but also fantasy sports, which courts previously recognised as a legal game of skill.

However, there are a number of factors that make the situation less clear-cut than it might appear at first glance:

  • The law is being challenged in the Supreme Court of India – a hearing took place in January 2026, but a final ruling has not yet been handed down
  • The main argument of PROGA’s opponents is that the central government has exceeded its powers, as gambling is a matter for the states under the Constitution
  • Until the Supreme Court delivers its ruling, the full implementation of the law remains in legal limbo
  • The law’s sanctions are primarily aimed at operators, advertisers and financial intermediaries, rather than ordinary players

As of spring 2026, more than 8,000 gambling websites had been blocked since the adoption of PROGA. However, state legislation continues to operate in parallel: casinos in Goa are open, lotteries are held in Kerala, and bets on horse racing are accepted across the country.

Taxation of Winnings: What You Need to Know

Regardless of a platform’s legal status, tax obligations in India are quite specific and leave no room for ambiguity. This aspect is often overlooked, but it shouldn’t be – the tax authorities certainly won’t overlook it.

All winnings from online gaming are taxed at a rate of 30%. This rule is enshrined in Section 194BA of the Income Tax Act. The tax is calculated on the net winnings – deposits and the initial account balance are deducted from the total withdrawals. There is no minimum threshold: any amount is taxable. 

Winnings must be declared in the tax return under the ‘Income from other sources’ section – on the ITR-2 or ITR-3 form. This applies to sports betting, casinos and any other winnings from gambling. Using UPI and bank transfers leaves a digital trail that tax authorities can use to track transactions.

Satbet and the Indian Market

Now, let’s look at how all this relates to a specific platform. Satbet has been operating for the Indian audience since 2020. The platform offers betting on cricket (including the IPL), football, basketball and tennis, as well as a casino section with over 5,000 games – slots, poker, roulette, blackjack and live dealer games.

Familiar payment methods are available to Indian users: Net Banking, Google Pay and PayTM. There is a mobile app for Android and iOS, a welcome bonus on the first deposit that doubles the amount, regular promotions and cashback on losses. Support is available 24/7 and can be accessed directly from the app.

Satbet uses a security system with data encryption, and the games are tested for fairness by third-party auditors. 

What Does All This Mean for the Average Player

If you decide to use an international platform such as Satbet, you should at the very least take tax obligations into account and closely monitor developments regarding PROGA. The law may be upheld, it may be repealed, or it may be significantly amended following a court ruling. Until that happens, each player makes their own decision based on current circumstances and their own risk assessment.

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