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Gambling Licence in India

posted 2 months ago

Expert Legal Guidance for Entering India’s Regulated Gaming Market with SBSB Fintech Lawyers

India is witnessing a surge in interest toward regulated gambling and gaming sectors – particularly in the digital space. However, due to India’s fragmented legal environment, launching a compliant project requires in-depth understanding and strategic legal positioning.

This article offers a comprehensive breakdown of how to obtain a Gambling Licence in India, the distinctions between casino and online licensing, and how SBSB Fintech Lawyers can support your entry into this fast-growing market.

Understanding India’s Legal Landscape for Gambling

India does not operate under a unified federal gambling statute. Instead, gambling activities are regulated primarily at the state level, with each region applying its own interpretation and framework.

The foundation of national law is the Public Gambling Act of 1867, which generally prohibits operating or visiting gaming establishments. Nevertheless, individual Indian states may choose to legalize and oversee certain forms of gambling or online skill-based activities within their territories.

Some states, such as Goa, Sikkim, and Daman, permit licensed casino operations. Others – like Nagaland and Meghalaya – have developed regulatory frameworks to issue an online gaming license in India, particularly for platforms offering games that rely on skill rather than chance.

Available Licensing Models

Casino License in India

A casino license in India is only obtainable in select jurisdictions:

  • Goa provides approvals under local gaming law for land-based and offshore casinos
  • Sikkim allows regulated operations in designated zones under state-level permissions
  • Daman may issue licenses under specific regulatory conditions

Applicants are expected to meet high thresholds for capital adequacy, infrastructure readiness, and compliance with anti-money laundering standards.

Online Gaming License in India

Digital gaming operations are legally permissible in a few Indian states – but only when they are based on skill-based mechanics. Popular game formats include fantasy leagues, online poker, and strategic card games.

States offering licensing for online gaming platforms include:

  • Nagaland, which regulates various categories of skill games
  • Meghalaya, under its dedicated Gaming Regulation Act
  • Sikkim, which also enables controlled online gaming permissions

These licenses are typically issued for a term of one to five years and are renewable upon ongoing compliance.

How to Get Gambling License in India: Legal and Operational Process

To lawfully launch your platform, here’s how the process typically unfolds:

Select the Appropriate State Authority

Begin by identifying which Indian state aligns with your business model and operational strategy.

Establish a Local Legal Entity

Your company must be registered in India–typically as a Private Limited Company. In most cases, a resident Indian director will be required.

Prepare Your Licensing Dossier

Submit documentation such as:

  • Game descriptions and classifications
  • Proof of skill-based algorithms (for online projects)
  • Internal control policies: AML/KYC, user identity, responsible gaming
  • Legal policies: Privacy, terms of use, data protection
  • System fairness certifications (e.g., RNG audits)

Apply to the Gaming Authority

The application, along with required fees, is filed to the respective state regulator. A detailed review of your operational and technical infrastructure will follow.

Await Regulatory Decision

Upon successful review and background checks, the license is issued for a specified duration, usually with annual renewal obligations.

Key Legal Requirements for Online Gaming License in India

If you intend to operate an online platform, the following conditions typically apply:

  • The platform must run through a legally registered Indian company
  • Only games of skill are allowed (games of chance remain restricted)
  • Servers must be hosted in India or in compliant data jurisdictions
  • Integration with local payment service providers must align with Reserve Bank of India (RBI) norms
  • Full transparency must be maintained regarding player rights and responsible usage

Gambling License in India Cost: Estimated Fees and Budget Overview

The financial outlay depends heavily on the license category and the state regulator. Approximate ranges are:

Online Gaming Licenses:

  • Application processing: from USD 5,000
  • Annual license fees: from USD 25,000 upward
  • External legal/technical services: USD 15,000–30,000

Casino Licenses:

  • State-specific license/security deposit: USD 1–2 million
  • Operational fees: Starting around USD 100,000 annually
  • Real estate and staffing requirements: additional
  • Prices may vary depending on business scale, game types, and local laws.

Advantages of Operating with a Valid Gambling License in India

  • Full protection under applicable state laws
  • Higher trust from payment systems, banks, and players
  • Avoidance of criminal exposure or fines
  • Long-term readiness for investment or partnerships
  • Credible legal structure to scale across Indian markets

Regulatory Hurdles to Consider

  • Conflicting or unclear state interpretations
  • Legal disputes over what qualifies as “skill”
  • High indirect taxes (such as 28% GST on some gaming categories)
  • Regular audits and policy changes

Final Thoughts

The Indian gambling and gaming ecosystem is fragmented but full of potential. Obtaining a valid gambling license in India – whether for a local casino or a legal online skill-based platform – opens the door to scalable, sustainable operations.

Yet, due to regional legal complexities, professional guidance is key to securing the correct license, ensuring compliance, and mitigating risks.

Why Work with SBSB Fintech Lawyers?

We help you navigate the legal maze with precision. With a decade of experience in international gambling regulation and over 50 successful license projects, SBSB Fintech Lawyers delivers more than legal advice – we build compliant businesses.

✔ Legal support across India, EU, and global markets
✔ Deep knowledge of Indian state gaming laws
✔ End-to-end project structuring and execution

📧 Reach out today at: bio.link/sbsb.

Build legally. Scale safely. Trust SBSB Fintech Lawyers.

posted 3 days ago

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