22 February 2011
We are an online gaming company, we maintain a website where in you can play rummy game online. We deduct TDS if winning is more than 10,000/-. In this case please clarify:
In a Game the bet amount is 3000/- per person, 6 players are in game, Prize Pool is 18,000/-, we deduct our commission 15% that is 2,700/-, so the person who wins the game gets 15,300/- (which includes his original bet of 3,000) Please help me out whether we need to deduct tax on whole prize of 15,300/- or 12,300/- which is prize pool minus his bet amount.
CAclubindia
