Over the past decade, the online gaming industry in India has witnessed remarkable growth. India has never had a more active gaming culture, from casual mobile games to competitive esports competitions. However, the necessity for a clear legislative framework to control gaming activities and guarantee responsible gaming practices is growing along with the growth of online gaming.
In India, gaming laws are a combination of state and central government regulations, most of which were made before online gaming existed. The major difference is between Game of Skills and Game of Chance. In some states, games of skill are allowed while games of chance, like betting and gambling, are prohibited, except in a few states where they are regulated.
In this article, let’s explore the gaming license in India and what you need to know before setting up a gaming company in India.
What is a Gaming License?
A gaming license in India is an official permission granted by the government that allows the company to offer gaming services legally. It guarantees that game developers are conducted respectfully, fairly, and in compliance with the regulations set by the authorities. Gaming license regulations in India can differ from state to state some game types need particular authorization.
Types of Gaming Licenses in India
Depending on the nature of the game and state, different types of gaming activities may need different licenses. Some of them are:
Online Gaming License: This license is required for those platforms that offer games played over the internet, real money games.
Fantasy Sports License: A license is required for sports apps where users create virtual teams and bet on them to compete for prizes.
Casino Gaming License: This type of license is specially used for casino games like roulette, poker, pool, blackjack, and more.
Documents Required for Gaming License in India: To obtain a gaming license in India, you need to submit a set of documents. These include:
- Company registration details
- GST registration
- Proof of Identity and address of both directors and promoters
- Detailed business plan
- Financial bank statements
- Gaming policy and terms of use,
The exact list of documents may vary based on the type of license and the state you apply for.
How to get a Gaming License in India: There are a few important steps to follow while obtaining a gaming license in India. This process includes a few important steps:
- Identify the type of license required: Choose whether your company offers a game of skills or a game of chance, and make sure to check the licensing requirements in the state you want to target.
- Prepare with the required documents: Collect all required documents, including company registration, address identity proof, financial records, and more.
- Submit the application: Filing out forms, providing company background, and applying with the relevant state authority or gaming board with all documents.
- Pay license fees: Depending on the type of game you plan to set up, some states charge a license fee or ask for a refundable security deposit.
- Receive the gaming license: Once all the applications are submitted and approved, the government authority will issue you with the gaming license.
For more in-depth information or expert guidance on starting a gaming business in India, connect with us at enquire@kdpaccountants.com .
Conclusion:
A Gaming business in India is growing rapidly, so businesses need to operate legally and responsibly. Obtaining right gaming license not only ensures compliance but also gain the trust of users. Since gaming laws in India can be a combination of central and state regulations, navigating the licensing procedure may find it difficult for new businesses.
At KDP Accountants, we help entrepreneurs, startups, and gaming companies in India and outside with setting up their gaming operations legally. From advising the best type of gaming license to ensuring full legal compliance, our experienced team simplifies the process for you. If you are planning to start a gaming business in India or require any legal help, feel free to reach out at enquire@kdpaccountants.com for expert advice and end-to-end solutions.
Frequently Asked Questions:
Is it legal to operate a gaming business in India?
Yes, operating a gaming business in India is legal as long as it complies with state and central laws.
Which state in India issues gaming licenses?
States like Meghalaya, Sikkim, and Nagaland have specific regulations for issuing gaming licenses for online gaming platforms like card and sports betting games.
What documents are required for a gaming license in India?
Documents like GST registration, bank details, proof of identity, and address proof, policies, and more.
What types of games need a license in India?
Games involving real money, poker, rummy games, and fantasy games usually require a gaming license.
The above note is subject to further study and clarification. This note does not form an opinion from our end and before taking any decision based on the above, it is recommended to consult our experts on the subject. Kamdar, Desai & Patel will not be liable for any damages (including, without limitation, damages for loss of business projects, or loss of profits) arising in contract, tort, or otherwise from the use of or inability to use this article or any of its contents, or from any action taken (or refrained from being taken) as a result of using this article or any such contents.
