New Delhi, Sept. 5 -- A Bengaluru taxpayer was slapped with an income tax notice after he failed to report Rs.2.33 crore in online gaming winnings in his income tax return (ITR) for AY 2022-23. He argued that the amount did not represent his actual income because he had incurred losses from his the real-money gaming activities.

This case concerns Arakere Channappa, a resident of Doddakallasandra in Bengaluru, who reported a total income of Rs.4.32 lakh in his return for the year. His income included earnings from house property, business and other sources.

Subsequently, his case was picked up for scrutiny by the income tax assessing officer (AO), Bangalore for verification of information. The officer had received information that Channa...