Section 9(4) in Kerala General Sales Tax Rules, 1963
(4)the taxable turnover of a dealer of lottery ticket who is liable to pay tax under sub-section(1) of section 5 shall be that part of the turnover to the extent it involves the right to participate in a draw and it shall be calculated at sixty percent of the retail price of the tickets sold or the total of the retail price of the tickets sold in a draw minus the prize money actually paid in respect of such draw within the state, whichever is higher.
