“The circular provides guidance in the computation of the winning amount on which withholding tax will apply. The confusion that existed on how the provisions will be put into implementation stands covered through this circular. Now with this, the onus shifts back to gaming to put their mechanism in place for ensuring taxes are deducted at the point of withdrawal. Since this circular has come after a gap from the date of implementation of new rules, the shortfall if any for the past month can be paid now and there shall not attract any penalty,” shares Saurrav Sood, Practice Leader, International Tax & Transfer Pricing, Sw India on the new guidelines.
