TDS POLICY

Definition

Net Winnings is the difference between the total amount withdrawn and the total amount deposited in a financial year.

Example

If Total Deposit is ₹2,000 and Total Withdrawal is ₹3,000, then Net Winnings = ₹3,000 - ₹2,000 = ₹1,000

Rate of Tax

Tax is calculated at 30% of cumulative Net Winnings at the time of withdrawal.

Example

For Net Winnings of ₹1,000, Tax = 30% of ₹1,000 = ₹300

Included Items

Net Winnings calculation includes: • Cash game winnings • Tournament prizes • Bonus conversions • Referral rewards • Any other monetary credits

Excluded Items

The following are not included in Net Winnings: • Welcome bonuses • Promotional credits • Loyalty points • Non-withdrawable bonuses

TDS is deducted in two scenarios: 1. When a player makes a withdrawal 2. On March 31st (end of Financial Year)

Example

If Total Deposit is ₹4,000 and Total Withdrawal is ₹2,000: Net Winnings = ₹2,000 - ₹4,000 = -₹2,000 As Net Winnings is negative, no tax will be deducted.

Cumulative Calculation

TDS is calculated on the cumulative Net Winnings for the financial year, considering all previous withdrawals and taxes paid.

Example

First Withdrawal: ₹5,000 (Tax paid: ₹300) Second Withdrawal: ₹3,000 (Additional tax calculated based on total Net Winnings) Total Net Winnings and tax are tracked throughout the year

Calculation with Opening Balance

Net Winnings = (Total Withdrawal) - (Total Deposit) - (Opening Balance)

Example

Opening Balance: ₹1,500 Total Deposit: ₹2,000 Total Withdrawal: ₹3,000 Net Winnings = ₹3,000 - ₹2,000 - ₹1,500 = -₹500 As Net Winnings is negative, no tax will be deducted.

Year-End Calculation

Net Winnings = (Total Withdrawal) + (Closing Account Balance) - (Total Deposit) - (Opening Account Balance)

Example

Opening Balance (April 1, 2023): ₹1,500 Total Deposit: ₹2,000 Total Withdrawal: ₹3,000 Closing Balance (March 31, 2024): ₹4,000 Net Winnings = ₹3,000 + ₹4,000 - ₹2,000 - ₹1,500 = ₹3,500 Tax (30%) = ₹1,050 If ₹900 tax already paid, remaining tax = ₹150

Year-End Processing

At the end of each financial year (March 31st): • All pending TDS calculations are completed • Final tax adjustments are made • Remaining balance is carried forward • New calculations begin for the next financial year

Important Dates

• March 31st: Financial year end • April 1st: New financial year begins • Within 1 month of quarter end: TDS certificates issued • July 31st: Due date for filing income tax returns

Players can file their returns with the income tax department and claim refunds subject to their overall tax liability. While RummyKhiladi will issue tax deduction certificates, we cannot refund excess TDS directly to players.

Tax Certificates will be issued within 1 month from the last date of filing TDS returns for every quarter.

Required Documents

To ensure proper TDS processing, players must provide: • Valid PAN Card details • Current bank account information • Valid mobile number and email ID • Address proof (if requested)

Document Verification

All documents are verified to ensure: • Compliance with KYC norms • Accurate tax deduction • Proper credit of TDS in tax records • Timely issuance of certificates

Player Obligations

Players are responsible for: • Providing accurate PAN details • Updating personal information • Maintaining valid bank accounts • Reviewing TDS calculations • Reporting discrepancies promptly

Player Requirements

Players must ensure: • Timely filing of income tax returns • Declaration of gaming income • Proper utilization of TDS certificates • Compliance with tax laws

Available Help

For TDS-related queries: • Contact customer support • Email: support@rummykhiladi.com • Visit Help Center • Raise support ticket

Policy Updates

This TDS policy may be updated to reflect: • Changes in tax laws • Regulatory requirements • Platform policy changes • Process improvements