|
In India, lottery winnings are subject to taxation under the Income Tax Act. The tax rate on lottery income is 30% for individuals, plus applicable surcharge and cess, making the effective tax rate higher. This tax is deducted at source （TDS） if the winnings exceed a specified limit, typically Rs. 10,000. Additionally, state governments may impose their own taxes on lotteries, as lottery operations are regulated by individual states. It is important for winners to declare such income in their tax returns to avoid penalties. Overall, understanding these tax rules helps in proper financial planning for lottery participants in India. |
