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If the player still has winnings left at the end of the year, the tax will be deducted from them too. The services provided by sportspersons or traditional athletes are considered "professional services," and TDS is deducted under Section 194J. Whereas the same sportsperson's or traditional athlete's winnings from playing the same game online, such as chess, are subject to a withholding rate of 30%. The withholding tax rate for winnings from online gaming has been set at a higher rate of 30%. Continuing the relief of the threshold amount of Rs 10,000 for deduction of TDS on net winnings from online games during withdrawals, or the allowance of a minimum threshold limit of Rs 2,000, would be a significant step in the right direction. Since players often use multiple gaming platforms, they should pay tax on their net winnings, subtracting the money they spent to enter contests and adding up their winnings from all platforms.

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