Rules 31B and 31C explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Rules 31B and 31C fix the value of two kinds of supply by reference to what the player pays. For online gaming, including actionable claims in online money gaming, the value is the total amount paid, payable or deposited with the supplier; for actionable claims in a casino it is the total amount paid or payable for tokens, chips, coins or tickets, or for participation in an event. In both, refunds and returned amounts are not deducted.
This article follows the Central Goods and Services Tax Rules, 2017 as amended up to 31 October 2025 in the compilation consulted; notifications issued after that date should be checked.
Under rule 31B the value of supply of online gaming, including actionable claims in online money gaming, is the total amount paid or payable to or deposited with the supplier by way of money or money's worth, including virtual digital assets, by or on behalf of the player. Under rule 31C the value of actionable claims in a casino is the total amount paid or payable by or on behalf of the player for tokens, chips, coins or tickets, or for participating in an event. Amounts returned or refunded are not deductible in either rule.
The Acts behind the rules
Rules 31B and 31C override the Chapter on valuation ("Notwithstanding anything contained in this chapter"), and they work with the Act's provisions on the value of supply (see section 15 of the CGST Act, 2017) and, for online money gaming supplied from outside India, with section 14A of the IGST Act (see section 14A of the IGST Act, 2017: online money gaming). The footnotes record that both rules were inserted by Notification No. 51/2023 - CT dated 29.09.2023, with effect from 01.10.2023. If you run a gaming or casino business and want your value of supply checked against these rules, see our GST health check.
The rules around them: rule 31A covers lottery, betting, gambling and horse racing (see rule 31A of the CGST Rules, 2017). Rule 31D, inserted by Notification No. 20/2025-Central Tax dated 31 December 2025 (the Central Goods and Services Tax (Fifth Amendment) Rules, 2025, to come into force from the 1st day of February, 2026), is not in the compilation consulted and is explained in rule 31D: retail sale price valuation for pan masala and tobacco.
Rule 31B: online gaming including online money gaming
"Notwithstanding anything contained in this chapter, the value of supply of online gaming, including supply of actionable claims involved in online money gaming, shall be the total amount paid or payable to or deposited with the supplier by way of money or money's worth, including virtual digital assets, by or on behalf of the player."
Parts of the sentence:
- What is valued. The supply of online gaming, including the supply of actionable claims involved in online money gaming.
- What it is measured by. The total amount "paid or payable to or deposited with the supplier".
- In what form. "By way of money or money's worth, including virtual digital assets". So the amount is not limited to money.
- By whom. "By or on behalf of the player".
Proviso. "Any amount returned or refunded by the supplier to the player for any reasons whatsoever, including player not using the amount paid or deposited with the supplier for participating in any event, shall not be deductible from the value of supply of online money gaming."
The proviso is wide ("for any reasons whatsoever") and gives one example, a player who does not use the amount deposited. It speaks of the value of supply of online money gaming.
Rule 31C: actionable claims in a casino
"Notwithstanding anything contained in this chapter, the value of supply of actionable claims in casino shall be the total amount paid or payable by or on behalf of the player for -"
(i) purchase of the tokens, chips, coins or tickets, by whatever name called, for use in casino; or
(ii) participating in any event, including game, scheme, competition or any other activity or process, in the casino, in cases where the token, chips, coins or tickets, by whatever name called, are not required.
Proviso. "Any amount returned or refunded by the casino to the player on return of token, coins, chips, or tickets, as the case may be, or otherwise, shall not be deductible from the value of the supply of actionable claims in casino."
The Explanation common to both rules
"For the purpose of rule 31B and rule 31C, any amount received by the player by winning any event, including game, scheme, competition or any other activity or process, which is used for playing by the said player in a further event without withdrawing, shall not be considered as the amount paid to or deposited with the supplier by or on behalf of the said player."
The point: money a player wins and rolls into a further event, without withdrawing it, is not counted again as an amount paid or deposited. It is not part of the value under these rules.
Rule 31B and rule 31C compared
| Feature | Rule 31B | Rule 31C |
|---|---|---|
| Supply | Online gaming, including actionable claims involved in online money gaming | Actionable claims in casino |
| Measure | Total amount paid or payable to or deposited with the supplier | Total amount paid or payable by or on behalf of the player |
| For | Money or money's worth, including virtual digital assets | Tokens, chips, coins or tickets, or participation in an event where they are not required |
| Refund or return | Not deductible | Not deductible |
| Winnings used again | Not counted as paid or deposited | Not counted as paid |
Who does what
| Who | What | Basis |
|---|---|---|
| Online gaming supplier | Values the supply as the total amount paid, payable or deposited, with no deduction for refunds | Rule 31B and proviso |
| Casino operator | Values the supply as the total amount paid or payable for tokens or participation, with no deduction for amounts returned | Rule 31C and proviso |
| Both | Does not count winnings rolled into a further event without withdrawal as new payments | Explanation |
A worked example
The amounts below are illustrative arithmetic only; the names are invented.
Online gaming. A player, Imran, deposits two thousand rupees with Skyline Play, an invented online gaming supplier. He uses one thousand five hundred rupees in events and asks for the unused five hundred rupees back, which Skyline refunds. Under the proviso to rule 31B, the refund is not deductible. The value of Skyline's supply for the deposit remains two thousand rupees. Had Imran also deposited an amount in the form of a virtual digital asset, its value would be part of the amount deposited, since the rule includes "money's worth, including virtual digital assets".
Winnings rolled over. Imran wins four hundred rupees in an event and uses that amount to play a further event without withdrawing it. Under the Explanation, the four hundred rupees is not considered an amount paid to or deposited with the supplier by him. It does not increase the value.
Casino. Priya buys chips for three thousand rupees at Marina Casino, an invented casino, and later returns unused chips and receives five hundred rupees back. Under the proviso to rule 31C, the amount returned is not deductible. The value remains three thousand rupees.
Points to watch
- No deduction for refunds. Both provisos say so, in terms that reach "any reasons whatsoever" in rule 31B and "or otherwise" in rule 31C.
- Virtual digital assets count. Rule 31B includes them in money's worth.
- Rollover of winnings. The Explanation applies to both rules.
- No rate of tax. These rules fix value only; the rate is not in the rules and is not stated here.
- Overseas operators. Online money gaming supplied from outside India has its own registration and return rules: see rules 13 to 15.
Need help with valuation in a gaming business?
The rules deliberately remove the deductions a supplier might expect. We check how your accounts treat deposits, refunds and rolled-over winnings against rules 31B and 31C and flag where the value should be higher or lower. See our GST health check.
Key takeaways
- Rule 31B: value of online gaming, including online money gaming, is the total amount paid, payable or deposited, in money or money's worth, including virtual digital assets.
- Rule 31C: value of actionable claims in a casino is the total amount paid or payable for tokens, chips, coins, tickets or participation in an event.
- Refunds and returned amounts are not deductible in either rule.
- Winnings used in a further event without withdrawing are not treated as new payments.
- Rules 31B and 31C were inserted by Notification No. 51/2023 - CT dated 29.09.2023, with effect from 01.10.2023.
Read next
- Rule 31A of the CGST Rules, 2017: lottery, betting, gambling and horse racing
- Rule 32 and 32A of the CGST Rules, 2017: determination of value in respect of certain supplies
- Rule 31D: retail sale price valuation for pan masala and tobacco
- Section 14A of the IGST Act, 2017: online money gaming
Disclaimer: Based on the Central Goods and Services Tax Rules, 2017 and the GST Acts as amended up to 31 October 2025 in the compilation consulted, read with the Finance Act, 2026 where this article says so, as consulted on 2 October 2026. Notifications, circulars and amendments issued after that date, the forms on the common portal and the way the tax authorities apply these provisions should be checked. This article is general information, not legal advice; check the official text before acting.