Real-money gaming companies look for an ace to beat tax blues

Companies that run online games like poker, rummy and fantasy sports where real money is wagered are experimenting with new models that discourage users from frequently withdrawing their money, as they seek to minimise the impact of increased indirect tax and boost their earnings.

For shorter games like rummy and poker, companies are trying out curbs on withdrawal of deposits to avoid being hit by repetitive taxation, as GST is levied every time a new deposit is made. For fantasy sports where the play duration runs into hours and a huge number of users participate, they are tinkering with the win percentage.