New Section 115BBJ: 30% Tax on Net Winnings from Online Games Effective April 2024
Section 115BBJ, effective from April 1, 2024, imposes a 30% income tax on net winnings from online games. This new section, introduced by the Finance Act, 2023, requires the deduction of tax from the net winnings before payment to the recipient. The section defines "computer resource" as per Section 144B, "internet" as the global network of interconnected computer networks, and "online game" as any game accessible via the internet through a computer resource or telecommunication device.