Crypto Tax India 2022- The Best Tax on Cryptocurrency in India Guide

In this decentralized digital virtual crypto article, we will discuss Crypto Tax India and what Tax on Cryptocurrency in India tax policy and proposal means for Indian Rupee and world crypto-asset lovers, what difference it makes for the Crypto investment ecosystem, and what it means for you as a cryptocurrency rate user.

Also Read: Crypto Tax India-2022-Tax on Cryptocurrency in India

Before we discuss the crypto tax in India and news details, though, if you aren't suspicious and interested in being the first to find out when we publish a new article on multiple cryptocurrencies, don't forget to support us well we don't mean money, subscribe to our newsletter form and Telegram channel to receive info.

Hello, Welcome to Cryptoin5minutes.com! Please if you are new here don t forget to click on the Newsletter and Telegram.

Also Read: Pi Network Price Prediction

Our Central Indian government has imposed rules like 30% flat tax, 1% TDS, no carry forward, no set off on your crypto trading profit and there has been a lot of buzz about Tax Percent rates, Media coverage, trading allowed etc.

A lot of people are getting doubt about all these things because from the 1st of April 2022, all these rules will be applicable in bank and crypto profits.

So what do these things mean here?

Also Read: Pi Network KYC 2022 Update

Parliament Discussion-Crypto Tax-Tax on Cryptocurrency in India 2022

The bill for Crypto Tax -Tax on Cryptocurrency in India was under parliament a few days ago and it seemed that some problems are going to be created here in crypto. But there was a discussion inside the Parliament where many BJP leaders raised their questions regarding crypto as the Highest risk market in India to date as our understanding is only limited to the Stock and equity market.

Some leaders also believe that crypto is a threat and it should be banned. But there are also some such leaders who are understanding crypto and gains and appeared here asking a valid question for operating it.

Also Read: Timestope Network Mining 2022

So there is a person, there is a leader here whose name is Pinaki Misra. He has put out many valid questions regarding the crypto bills and he has mentioned that banning crypto assets is equivalent to banning the internet today.

So all the points he raised in his speech are all valid points just like the industry experts and somewhere we as the crypto community is able to relate to him because all the questions he has put out here are also going on somewhere in our mind too with regards to regulatory policies and fungible process.

Current Scenario

As you know that recently finance bill has been passed in India, and crypto taxation has come here. and the rules of crypto taxation law will be applicable from the 1st of April 2022 terms as evident from the proposed Budget of 2022.

So get ready as Government will collect taxes for our investments now as announced in the budget.

Now in such a situation, many of you are continuously asking What are the alternative options left for us? What should we do at this time before filing the return and before someone invests?

So today we will discuss it in this video. We will try to understand more deeply the emerging crypto tax rules that have come here, what exactly they mean here for employees and investors, and in what way they are going to work here. So don't miss out on a single part of the video.

If you like the video, then definitely subscribe to the newsletter.

Crypto Tax India 2022- The Best Tax on Cryptocurrency in India Guide

Things to Keep in Mind Crypto Tax-Tax on Cryptocurrency in India

1. The 30% Tax-Crypto Tax on Cryptocurrency in India

So the first rule here is that you have to pay 30% crypto tax on Cryptocurrency in India i.e flat 30% tax on earnings. Now the genuine doubt of many people.

They feel that whenever we make a profit in a trade, then immediately the exchanges will deduct 30% of our amount as services and in this way, we will pay tax here. Let me tell you, nothing like this is going to happen.

The major doubt that is coming is that a lot of people are asking here that if we have invested before 1st of April 2022, then profit if we are booking after that then in what way did they take it here?

According to me, according to the research we have done here, if you have already invested here, it does not matter if you make a profit book in that financial year. Based on the information collected from CA, let's get clarity.

Also Read: Cryptotab Browser Mining 2022

So the first thing here is a 30% flat crypto tax on crypto trading as a tax on cryptocurrency in India, whatever you will generate profit within that annual year,you will have to pay on that. Now many people are thinking and they feel that will you have to pay 30% tax on the profit that they will make in each trade.

So the tax, whatever your income is in that entire annual year, whatever is your profit, loss a balance sheet is prepared for buying and selling on the basis of it and on that if you have profit from your crypto trading accounts, then you will have to pay flat 30% tax on that.

Also Read: Bee Network Mining 2022

Like let me explain this to you through an example, then from 1st of April 2022 to 31st of March 2023, whatever profit you have made through crypto trading in this entire annual year. On top of that you will have to pay 30% tax.

Suppose that in that entire annual year you have invested Rs 1 lakh and at the end means by 31 of March 2023 your money becomes Rs 150000, 50000 rupees is your profit here, then on that 50000 rupees you will be paying 30% tax and this thing will be applicable for everyone. means if you have profit even of 1000 rupees, 5000 rupees profit, 1 lakh rupees profit, or 10 lakh rupees profit, Even then you are required to pay the same 30% tax on your capital gain while filing returns crypto currencies.

Also Read: Chainlink 2022 Price Prediction

No matter how long you have been holding it doesn't matter if you are booking profit on that holding in that financial year, first declare your holdings and then you simply have to pay tax on whatever profit you will have If you have a loss, then you do not have to pay any tax on it while filling the return.

2. The TDS-Crypto Tax-Tax on Cryptocurrency in India

Apart from this, the second thing that is arising here is TDS, So let me tell you, TDS will be applicable on purchase here from the 1st of July 2022

and there is not much clarity about TDS right now. Whether TDS will be deducted on buy-sell, on transfer, or on the transaction.

All these things are very unclear.

Exchanges are also trying to take clarity on this. There is a time for the 1st of July 2022, before that if any clarification comes If any clarity is found here, then I will definitely share with you How our TDS will be deducted. Rest, whatever TDS is, whenever you go to file tax, at that time you can also claim it. So whatever your TDS is paid here throughout the year, You also get it back by making a claim at the end.

So we will take clarity on TDS in the future. Rest, rules like no set-off, no deduction are definitely applied here. Overall, I would like to tell you that The rule which has come here at this time is definitely we all have to follow. But a lot of people are sharing their opinion, including their own solution, which they feel for blockchain token/tokens transactions.

Now let's talk about 1% TDS, so first of all this is TDS, it is going to be applicable from the 1st of July 2022 and not from the 1st of April 2022. Now there are many doubts regarding this 1% TDS, People have different opinions, Some people say that 1% TDS will have to be paid on every trade,

At the same time, some people believe that 1% TDS will have to be paid on every single transaction and on every withdrawal. Although our exchanges are trying to bring clarity to it, there is no complete clarity on it yet.

As much as info collected from CA and my knowledge regarding TDS, I share with you. So because the full form of TDS is Tax Deducted at Source, whenever you transfer any fund from one place to another, you have to pay TDS at source only.

So according to me, you will have to pay 1% TDS on every transfer, whenever you transfer any of your funds from any centralized exchange, you will have to pay 1% TDS on it. And when you withdraw you will have to pay 1% TDS. There is no complete clarity on this thing yet. It is going to be applicable from the 1st of July, there is a lot of time for this exchanges are trying to get clarity on it,

So as soon as some clarity comes, we will definitely share it with you.

Also Read: Why You Should Never Buy Kilt Token in 2022 Without Reading this!

Now let's talk about set off, then you must be hearing that if you have profit or loss in crypto, it will not be set off by any other profit or loss. What does it mean, I try to explain it to you. So here set-off means that suppose you have generated some profit from crypto and you are also doing another business, you are running a grocery shop and in that financial year you have profit in crypto.

Also Read: Bybit Review 2022-Bybit Launchpool!

But if you have a loss in your grocery shop, then both of them will not be compromised here, they will not be set off or vice versa. means if you have a loss in crypto and you get profit in your shop then that too will not be set off here

This is the simple meaning of set off You will have to pay a 30% flat tax on your crypto profit. So whatever information I have shared with you today, I have shared it on the basis of my knowledge, you must consult your CA once regarding tax before taking any decision of yours.

What Should be Done?

Is DEX an Option for Crypto Tax-Tax on Cryptocurrency in India

Some people say that people can use DEX, people can use decentralized exchange People can use the p2p option to withdraw their funds, to convert them into INR. Some people also think that you can move on international exchanges for trading, So many such alternative options are available to listen to Different opinions of many people are coming here. What is your opinion, what do you think, in which way these things should be tackled, you will tell me in the comment section?

Last Words on Crypto Tax-Tax on Cryptocurrency in India

Rest, remember that once you must do proper consultation with your CA because what we are telling you is on the basis of all the research and consultation we have done. If you are taking any of your financial decisions, For that you must discuss them with your CA once. They will be able to explain all the things to you better,

Also Read: Shiba Inu Coin 2022 Price Prediction

So consult the CA once, then whatever your opinion is, share it here in the comment section. and if you like the video then definitely like the video. and if you have not subscribed channel yet then make sure to subscribe to the channel. See you in the next Article. Till then take care and bye-bye.

Apart from this, we are raising our voice on Twitter as a crypto community where the government is being appealed to put a 30% flat tax in the slab criteria, and crypto tax should be reduced and come with a fair crypto tax. At the same time, 1% TDS should also be reduced.

From the 1st of April, all the things will be applicable, So now is the time, definitely show some activity on Twitter. Whatever will be the next update regarding the crypto bill and crypto tax, I will definitely share it with you on my channel. What is your opinion about this, definitely tell me in the comment section.

If you liked our article on Crypto Tax-Tax on Cryptocurrency in India then definitely hit the like eo.

Also Read: Pi Kyc-Pi Price Prediction 2022

Because this is what motivates me to bring such informative content to you

Because similar articles We keep bringing for you. Which I hope will be more helpful for you.

Share with us your opinion in the comment section. If you liked the article definitely hit the like button.

Because your appreciation motivates us to bring such informative content for you. Next On which coin do you want to know?

You can mention the additional coin name in a comment. and if you have not subscribed channel yet then make sure to subscribe to the regular Newsletter and Telegram social now.

See you in the next future article! Till then Bye Bye! I'll see you next time!

Also Read: BitShiba Token 2022 Should I buy it?

Also Read: Tokenomics What is It?

Also Read: What Is NFT?

Also Read: Top Ten Crypto 2021

Also Read: What is Bitcoin ETF -Why Still Awaited in 2021?

Also Read: Pi Coin Price Prediction 2022

Keywords covered

Crypto Tax-Tax on Cryptocurrency in India Crypto Tax-Tax on Cryptocurrency in India Crypto Tax-Tax on Cryptocurrency in India Crypto Tax-Tax on Cryptocurrency in India Crypto Tax-Tax on Cryptocurrency in India Crypto Tax-Tax on Cryptocurrency in India