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Kerala lottery tax refers to the taxation applied on lottery winnings in the Indian state of Kerala. In India, lottery winnings are subject to a flat tax rate of 30% under the Income Tax Act, plus applicable surcharge and cess, which may bring the total deduction to around 31.2%. This tax is deducted at source (TDS) by the lottery distributor when the prize is claimed. Additionally, Kerala state may impose its own taxes or fees on lottery tickets, but the primary tax on winnings is governed by central government regulations. It is essential for winners to be aware of these deductions to accurately estimate their net prize amount. |