Pokerstars TDS Policy
The PokerStars app is required to comply with Indian tax laws, and this includes deducting TDS (Tax Deducted at Source) on winnings. TDS is a direct tax that is deducted at the source of the income, and it is payable to the Indian government.
TDS Rate on Poker Winnings
The TDS rate on poker winnings is 30%. This means that if you withdraw ₹10,000 from your PokerStars account, ₹3,000 will be deducted as TDS and the remaining ₹7,000 will be credited to your bank account.
How TDS is Calculated
TDS is calculated on the net winnings of a player in a financial year. Net winnings are calculated by subtracting the total deposits made by the player in a financial year from the total winnings withdrawn by the player in the same financial year.
Suppose a player deposits ₹10,000 in their PokerStars account in a financial year and wins ₹20,000. The player then withdraws ₹15,000 from their account. The TDS on the winnings will be calculated as follows:
- Net winnings = ₹15,000 – ₹10,000 = ₹5,000
- TDS rate = 30%
- TDS amount = ₹5,000 * 30% = ₹1,500
- The player will receive ₹13,500 in their bank account after TDS is deducted.