If I purchase online tickets for a foreign lottery like ELGORDO etc n manage to win a prize, what would be the proper procedure to get the money transerfered to India? What are the tax liabilities? What are the regulations etc?
As per existing forex rules, buying online lottery tickets is prohibited by the Reserve Bank of India.
I reproduce the relevant portions of RBI Master Circular on foreign exchange remittances below:
A.17 International Debit Cards
17.1 Banks authorised to deal in foreign exchange are issuing International Debit Cards (IDCs) which can be used by a resident for drawing cash or making payment to a merchant establishment overseas during his visit abroad. It is clarified that IDCs can be used only for permissible current account transactions and the item-wise limits as mentioned in the Schedules to Rules as amended from time to time, are equally applicable to payments made through use of these cards.
17.2 The IDCs cannot be used on internet for purchase of prohibited items like lottery tickets, banned or proscribed magazines, participation in sweepstakes, payment for call-back services, etc., i.e. for such items/activities for which drawal of foreign exchange is not permitted.
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