TDS stands for Tax Deducted at Source. According to the new section 194BA of the Income-tax Act, 1961, a 30% withholding tax (TDS) will be applied to the positive 'Net Winnings' earned by users from online games on SG11.. This TDS will be deducted at the time of withdrawal throughout the year or at the financial year-end. The financial year runs from 1 April to 31 March the following year. The financial year from 1 April 2023 to 31 March 2024 would generally be abbreviated as FY 2023-24, but it may also be called FY 2024 on the basis of the ending year.

TDS will be calculated as 30% of Net Winnings of the user. The formula is: TDS = 0.30 * Net Winnings

TDS will be calculated based on the user's Net Winnings at the end of the financial year. The formula for Net Winnings is:
Net Winnings = E + A - B - C - D, where,
A = Requested withdrawal from the user
B = Aggregate amount deposited in the user account
C = Balance in the user account at the beginning of the financial year
D = Winnings from earlier withdrawals on which TDS has already been deducted
E = Balance in the user account at the end of the financial year
TDS will be calculated as 30% of the Net Winnings:
TDS = 0.30 * Net Winnings

Suppose a user has an opening balance of Rupees 5,000 has participated in skill-based contests throughout the financial year and won ₹18,000, deposited ₹4,000 in the wallet but has not made any withdrawal, in such case, Net Winnings and TDS deduction will be calculated in the manner given below:
TDS will be calculated based on the user's Net Winnings at the end of the financial year. The formula for Net Winnings is :
Net Winnings = E + A - B - C - D, where,
Let’s look at the break-up of all costs, i.e. A, B, C, D and E

1. Requested withdrawal from the user, A = ₹0, since the user has not made any withdrawal request
2. Aggregate amount deposited in the user account, B = ₹4,000
3. Balance in the user account at the beginning of the financial year, C = ₹5,000
4. Winnings from earlier withdrawals on which TDS has already been deducted, D = ₹0, as no withdrawal has been made
5. Balance in the user account at the end of the financial year, E = ₹18,000

Let’s say user makes no withdrawal for the rest of the financial year, and he has deposited ₹5,000 since then, taking the total deposit in the financial year to ₹7,000 and has ₹10,000 winnings left in his/her in-app wallet on the last day of the financial year i.e. 31st March. Since, no TDS deduction has been done on these winnings, in such a case, SG11 will automatically deduct a 30% TDS in the following manner: (and will be reflected in SG11 wallet)
Total withdrawal amount, A = ₹9,000 (earlier withdrawal amount) + ₹10,000 (winnings on which TDS hasn’t been deducted)
Total amount deposited by the user, B = ₹2,000 + ₹5,000 = ₹7,000 Opening balance of the financial year, C = ₹2,000 Withdrawals on which TDS has been deducted, D = ₹2,000 + ₹3,000 = ₹5,000
Then, Net Winnings = A - B - C - D
Net Winnings = (₹9,000 + ₹10,000) - ₹7,000 - ₹2,000 - ₹5,000
Net Winnings = ₹19,000 - ₹14,000
Net Winnings = ₹5,000
TDS on this withdrawal will be calculated in the following manner,
TDS = 30% of Net Winnings
TDS = 0.30 * Net Winnings
TDS = 0.30 * 5,000
TDS = ₹1,500
New Wallet Balance = Winnings on which no TDS has been deducted - TDS
New Wallet Balance = ₹10,000 - ₹1,500
New Wallet Balance = ₹8,500
This new wallet balance is the closing balance of the year which will automatically become the opening balance of the following financial year.

The TDS rate is subject to change or may vary depending on the government’s guidelines and rules.

Yes, you can withdraw your winnings and get them deposited into your bank account or e-wallet and from there you can get your real cash. You will need your account to be KYC verified at the app.

Fantasy Premier Leagues works on the same principle as the real game, just virtually. You make your team by selecting the best players from both teams in an actual match for a stake you prefer. The real match takes place and at the end of it, you get points according to the performance of the players in the real match. Your score on the point table earns you awards or cash, as per your team's performance.