May 2025: India, home to 591 million gamers, has always been upfront about the need for gaming regulations. With more and more individuals rising to the occasion of online money games, it has become more imperative now than ever to have clearly stated rules and regulations.
A23 Rummy has always upheld responsible gaming practices and is mindful of different compliances to be hailed as a reputable and legitimate rummy app. Being compliant with rules and regulations ensures that gamers participating in rummy are protected. As a gamer, playing on a responsible platform is as important as being aware of all rummy rules.
A Brief Look at iGaming in India
Gaming has been an integral part of India’s social structure for a long time. Traces of iGaming, mostly as a game of dice, can be found in both Indian epics like Ramayana and Mahabharata. However, scholars like Kautilya had always advocated against these games and had wanted these games to be under the State.
Time moved on, and the British era saw a ban on gaming houses where games of chance with money exchange were played extensively. This rule was put into implementation in 1867 and intended to keep such games away from public places. But this stringency saw a shift when India gained independence from the British in 1947. This is where the constitution announced that rules pertaining to monetary games are to be decided by individual states.
The reflection of this decision can be seen even today after so many years of independence. There are a few Indian states like Telangana, Andhra Pradesh, Nagaland, Assam, Sikkim, Odisha, etc., where even legitimate gaming platforms do not operate. But on the other hand, the gaming regulations in states like Goa and Sikkim are somewhat lax.
RMD Chamarbaugwalla vs. Union of India
The government of India looked at the predecessors of iGaming- such as Rummy- with much skepticism. This changed in the historical case of RMD Chamarbaugwalla vs. Union of India. In this case, the Supreme Court gave a verdict that games where success considerably depends upon skill cannot be considered illegal.
This case can be considered a judicial balancing act that addresses public policy concerns yet pertains to an individual’s economic freedom. The court says that ‘a game of mere skill’ (the expression ‘mere skill’ is used in the Public Gambling Act) means that the game requires a substantial degree of skill and is thus not illegal.
Jurisprudence of Skill-based Games vs. Chance-based Games
While the RMD Chamarbaugwalla vs. Union of India changed how the Indian public played Rummy, the battle did not stop there.
The case of Varun Gumber v. Union Territory of Chandigarh in 2017 involved the Punjab & Haryana High Court taking a look at the games offered by online fantasy sports platforms and declaring that these real money games required skill and judgement on the player’s part, which makes the games skill-based and not chance-based.
The State of Andhra Pradesh v. K. Satyanarayana in 1968 had resulted in the Supreme Court ruling rummy out as a game of skill and not chance. This acknowledgement has led to people trusting iGaming platforms of India, with millions of downloads of A23 Rummy apps.
Current Gaming Regulations Put into Place
Right now, the online gaming industry of India has become a whopping $3.8 billion industry. Needless to say, this calls for a change from the traditional rules of 1867 and 1947. In 2021, this concern was addressed by the Information Technology (Intermediary Guidelines and Digital Media Ethics Code) Rules. These new rules revolve around digital content, which includes the online gaming platforms of India. A23 Rummy adhere to these guidelines.
Intermediary Guidelines and Digital Media Ethics Code
The Intermediary Guidelines have defined the likes of online gaming, permissible online gaming, permissible self-regulatory body and a few other relevant aspects. The guidelines states are not only recognizing the online gaming industry but also trying to find a way for a self-regulatory mechanism. A23 Rummy meets these guidelines. The platform also abides by the Goods and Services Tax Act related to online gaming.
Taxation on Prizes
The Income Tax Act has a new section, 115BBJ, which states that there must be a 30% tax on net winnings acquired from online gaming. There is also a 30% TDS applicable on winning withdrawals. Every online rummy platform has to pay heed to these tax guidelines. A23 does the same as well.
These regulations are not all. A23 Rummy is also mindful of fulfilling the requirements of the Foreign Exchange Management Act. It is a must for all online gaming platforms to comply with FEMA at the time of dealing with international payments. Besides, RBI regulations regarding payment settlements and gateways must also be kept in mind.
The Future of iGaming
There is no doubt that legitimate gaming platforms do pay attention and comply with gaming regulations. But there are new rules on the cards, with the government creating a standard that pans across the nation in order to have consistent rules for all online gaming platforms in all states.
According to industry experts, a fresh licensing regulation is much awaited in online gaming. In the licensing process, there will be adherence to how financially sound the operator is, if the operator has adopted the necessary security measures, and its commitment towards upholding responsible gaming practices. And this is beyond simply implementing fair play tactics.
A23 Rummy ensures that there are no underage players (the legal age is 18 in India) and that every player is submitting the necessary KYC details for age verification. Besides eliminating the prospect for underage gaming, the platform urges all patrons to practice responsible gaming and thus has session limits.
All online gaming platforms should have stringent measures for data privacy and follow the necessary guidelines for advertising and marketing. With future regulations setting in place, these regulations are expected to become more defined and online gaming platforms will have to follow them without missing a beat. There are going to be mechanisms for fraud detection, and anti-money laundering measures are going to be implemented.
Trust and Transparency Across iGaming Platforms
Gaming regulations are going to become more stringent with time. While it may seem like a hassle on the surface level, A23 Rummy has largely benefited from these rules and regulations. Having these rules in place paves the way for better customer trust. If there is a transparent and secure gaming ecosystem, gamers dealing with real money games can be at peace and not worry about losing their money to fraudsters.
With the implementation of national-level gaming standards, this assurance becomes stronger and all the more potent in the minds of people.
