Can TDS deducted On Winnining Online Game be Claimed?

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Sri Krishna Radhey Krishna

21 Points Posted on 04 June 2020

Last Year I won Online Game where I won prize of 85000. On it 30 percent was deducted and rest was given to me through online transfer. Now, my total income (even after including prize money), is not taxable. My question is can I Claim Refund for the 30 percent deducted as TAX on winning online game?

Please reply, and also help me know where can I show such income.

Replies (2)

Quick Summary

If you've won money from online games, the winnings are taxed at a flat rate of 30% (plus cess), regardless of your total income. This tax is often deducted at source (TDS). Unfortunately, you generally cannot claim a refund for this TDS, even if your total income falls below the taxable threshold, as the basic exemption limit does not apply to such winnings. A refund is only possible in specific circumstances, such as if the TDS was incorrectly calculated on gross winnings rather than net winnings after accounting for deposits.

CA Jyoti Tutorials

52 Points Posted on 04 June 2020

If you receive money from winning lottery,Online TV Games/Shows etc,it will be taxable under the head Income from Other Sources .The flat rate of tax shall be 30% and after including cess of 4%,it shall be 31.2%.Also when such prize money exceeds Rs 10000/-,such amount shall be received after deduction of TDS u/s 194B at the rate of 31.2%.It does not matter whether the income of such winner is taxable or not.The benefit of basic exemption limit is not applicable here.Therefore you have to pay tax @ 30% plus cess on the winning amount and tax deducted on winning such game can't be claimed as refund.

Aashok Kumar Sharma

Finance/Compliance Consultant

77995 Points Posted on 06 November 2026

Mostly not refundable. Online game winnings have a flat rate:

• From 1 April 2023, net winnings from online games are taxed at 30% (+ surcharge and cess) under Sec 115BBJ. The basic exemption limit and the Sec 87A rebate don't apply to this income (special rate, no slab benefit). Other deductions and losses can't be set off against it.

• TDS under Sec 194BA is 30% on net winnings, so the TDS usually equals the tax. No refund arises just because your total income is below the exemption limit.

• A refund is possible only if TDS was deducted on more than the net winnings computed under Rule 133 (withdrawals plus year-end balance, minus deposits and opening balance), e.g. if the platform deducted on gross withdrawal while your deposits offset it. In that case report the correct net winnings and claim the excess TDS.

• Pre-April 2023 winnings (Sec 115BB, TDS 194B) follow the same principle.

• Note: real-money online games have been prohibited under the Promotion and Regulation of Online Gaming Act, 2025.