The state of Maharashtra in western India, with a population of more than 100 million people, is weighing online gaming as a way to boost government revenues during the global financial crisis.
According to Asia Gaming Brief, other states such as Andhra Pradesh have been moving to ban online gambling, but there’s little doubt that the activity, legal or otherwise, is ubiquitous in the country.
An unnamed Nationalist Congress Party Cabinet member in Maharashtra was quoted as saying, “If we impose (a goods and services tax) on the transaction, we expect to mobilize at least INR2,500 crore (US$350 million) from the operators.”
A task force was convened earlier this year to study the matter, but its conclusions have not been made public.
One model for regulation under study is one implemented by the state of Sikkim, which licenses operators for a five-year term and collects fee and then collects taxes and fees.