Online Gambling License – Cost in India

India, the 7th largest country globally, has an old tradition of betting, particularly in Cricket and horse riding. There are no specific regulations about online gambling, and each State has its law of gambling.

The online gambling market is estimated to create $60 billion in revenue per year. With such a booming industry, people who wish to start their own upi casinos are always looking for online casino license costs in India.

The online gambling world started on a low scale in India, and it has still expanded up to 73% of increased revenue by the quarter of 2018. The industry is expanding at such high speed that it significantly impacts India’s income tax revenue.

Gambling operators practically contribute a huge fortune in the income tax revenue in whichever state jurisdiction allows them to have an online gambling license. Hence, high-income tax revenue increases the entire State’s revenue, leading to more jobs and higher economic growth.

What is an online gambling license?

Online gambling licenses can be your first step to start your own online casino business. It is permission issued by the Government of India for a certain online gambling license cost. This license acts as valid proof that the gambling operators are legitimate and offer guaranteed payouts.

Gambling sites that operate under online gambling licenses are liable to answer the Government if the user raises a complaint and it needs to be resolved under the jurisdiction. With the legit license, gaming operators also have to pay income tax as per their yearly revenue, which adds an advantage to the country’s economy.

Online gambling license offers operators a right to buy gaming software from renowned manufacturers. Operators can present customizable payment modes to send or receive payments from their gambling sites.

Online gambling licenses cost users trust in the operator. Without a legit license, players will always be skeptical about every stage of the online casinos. Hence having a legit gambling license issued by the Government creates a sense of trust and attracts more casino players.

Online Gambling Licence for India

Due to the competitive political environment, India’s betting industry operates in much more complicated procedures than other countries because India has a disturbing state-specific gaming law. There is a lot of confusion among gamblers.

Since the rules for online gambling in India differ with each State, the online casino license cost differs with each state jurisdiction. Before the promotion of the Constitution of India, the Indian Gambling scenario was regulated by the Public Gaming Act 1857, which was way before the internet was launched. Hence the Public Gaming Act does not have any reference to online gambling.

After the Constitution of India was enacted, most states adopted the Public Gaming Act’s rules, and other states have their own gambling rules. States like Sikkim, Goa, Daman and Diu are the hub of land-based casinos in India. Since there is no specific regulation of online gambling license cost and its functioning, many states prefer to follow the Public Gambling Act for online gambling.

India offers a huge framework for online gambling operators with huge private racks, cloud-based services, customized and dedicated servers for the sites.

India is considered one of the best places to set up your base and obtain an online gambling license. The huge success of online gambling in is India due to progressive jurisdiction, amazing telecommunication services, and financial stability.

Online gaming opens new doors of opportunities for Gaming operators and even the state authorities. Online casinos can offer world-class gambling experiences from around the world and helps operators create a solid relationship on an international level. As the gambling brand grows, gambling operators can also associate with various other manufacturers to increase their gambling stock and enhance their payment methods.
Online Gambling Regulation

Each state has its own Local Regulatory Authority that monitors gambling casinos to ensure that each gambling operator works according to the rules and regulations of the Government of India.

Official audits are held regularly to discuss the online gambling license costs and ensure that each license holder works under license terms. The official audit also includes discussions about deposits and financial transactions done by the gambling operator.

All the gaming rules mentioned on the online betting sites and the payout details should be mentioned to the Local Regulatory Authority in five years.

To keep everything transparent, operators with an online gambling license are compliant to obey rules made by each jurisdiction. The operators are liable to mention “Responsible Gambling” and offer any help possible to avoid gambling addiction.

The Gambling operator should showcase the type of license granted by the Government and the terms on the online site.

How to obtain a gambling license in India?

Although each State has the right to impose its gambling and betting laws, the Constitution of India states that any gambling game in which luck is the major factor of winning or losing is prohibited in India. Still, hardly any law that defines a particular game requires skills, or luck is the only thing that prevails.

According to the Nagaland Act and Rules, online gambling is allowed throughout India except in those states where gambling or betting is strictly prohibited under the State’s jurisdiction.

When starting your business in the online gambling world, the most important factor you need to take care of is the brand registration and online gambling license cost.

India offers a low-income tax rate of up to 10% on Corporate income tax and 0.5% tax on bets. The process to obtain online gambling licenses takes up to 3-6 months, and it is up to the Local Regulatory Authority to decide whether to pass the license as per the documents submitted.

Applicants will justify their financial standing and preserve the international honour of India as an online gambling center is rewarded with the online gambling license by the Indian Government.

If the applicant seemed suitable, but the proposal needs some correction, the Regulatory Authority will provide a checklist of improvements. The online gambling license includes permission for almost every casino game like eSports, Poker, Sports Betting, Bingo, Horse Racing, Lotto, BItcoin Casino, Fantasy sports, and many other games of skills.

Requirements for Indian gambling license

An applicant for an online gambling license should fulfill certain criteria as per the Nagaland Act and Rules to get the license of skilled gambling.

  • An Applicant should not have any criminal history in the past.
  • Applicant should control all its stakes in India
  • Applicants should present proof of their financial stability.
  • All the technology used in the functioning of the online casinos like software services, support framework should remain under the boundaries of India
  • The application should be submitted to the Director of State Lotteries, Nagaland, with the online gambling license cost of ₹50,000
  • Notarised passport copy
  • Bank Reference Letter

cost of gambling license in india

Cost of Gambling license in India

Obtaining an online gambling license involves a lot of procedures with the Regulatory Authorities. Gambling operators are also responsible for setting up a new gambling company, preparing all the necessary documents, government fees, corporate documents, due diligence fees, apostille set of corporate documents, and administration fees.

Furthermore, the licensee should provide a bank guarantee of up to € 656,000 for the state government every year and during the issue and the license renewal. Hence the registration of the company and the online gambling license cost € 961,000 and distributed evenly according to the number of founders.

The online gambling license cost that we mentioned is the initial cost required to keep the online gambling brand up and running, but the cost also depends on the type of advertisement and device mode required for the company.

The adverting, mobile app development, content, and initial bonus rewards might also increase the estimated online gambling license cost. Also, since each State has its online jurisdiction, the license cost might differ state-wise.


Considering the vast growth rate of online gambling in India, many players are interested in the gambling genre. Hence, online gambling has a potential future in India.

Without a considerable test rule to decide whether a game requires skills or not has allowed many Indian players to explore thousands of casino games. Getting an online gambling license benefits the gambling operators, but the more players take an interest in online gambling, the more income tax revenue will generate for the state government.

Operators with online gambling licenses from India create a stronger sense of trust since these online casinos offer payment modes commonly used by Indian players.

Operators with online gambling licenses also have an added advantage to explore overseas players since there is no restriction for expanding their gambling business to other countries, which helps them interact with new players and calculate the fields of improvement and innovations.

The Indian Government can also benefit from the vast exposure of the online gambling casinos under their license because with more exposure comes higher revenue and higher income tax. Overall a well-established online gambling casino can be considered a boon for the Indian Economy as well.

Leave a Reply

Your email address will not be published. Required fields are marked *