|Author: Kailash Kumar 05 Dec 2015 Member Level: Platinum Points : 2 (Rs 2) Voting Score: 0|
Proceeds of winning lottery are taxable at flat rate of 30 percent. In addition 3% education cess is also applicable. Thus the total tax liability will be 30.9%. This tax is deducted at source. The basic exemption limit etc. is not applicable in case of winning lottery.
|Author: Partha Kansabanik 05 Dec 2015 Member Level: Diamond Points : 1 (Rs 1) Voting Score: 0|
Mr. Kailash Kumar has given the requisite information. I would only add that from 15th November, 2015, another cess relating to 'Swachh Bharat' campaign @ 0.5% has been imposed. This will marginally increase the tax liability further.
|Author: Tara 25 Dec 2015 Member Level: Silver Points : 3 (Rs 3) Voting Score: 0|
If you are playing online lottery pertaining to another country from India, then you are eligible to pay tax at 33.33 percent plus 3% education cess along with recently introduced 0.5% swatch bharath cess . You are not eligible for any other exemption as you are for salary income because this amount is earned by way of lottery.