Bitcoin Forum

It is expected that Bitcoin may be legal in India as Indian Govt. imposed TAX on transaction of cryptocurrency.

t is not illegal and nor legal.

A few days ago, the Finance Minister in India, Arun Jaitley said that "The government's position is clear, we don't recognize this as legal currency as of now."

For those investing or wanting to invest in crypto-currency right now:

Please try to invest online from your account and not in cash.

Because if your investment turns into a few crores five years down the line, you should be best prepared to explain to the authorities.

Irrespective of what the government of India or ministers or bitcoiner's has to say , I Bitcoiner consider bitcoin or any other legitimate cryptocurrency as a legal digital currency as long as I and you pay income tax to the govt of india and are not associated with any illegal activities .

That would be better because the government would be open to bitcoiners willing to invest. It's like a road, although it should not be investing in cash but that's enough to help.

As of now, they don't have any plan to legalize the bitcoins. But the government of india has appointed a committee to study the cryptocurrency market. Government has already collected the data from the top exchanges from india and now they are planning to probe the people to provide the source of money which was invested into the bitcoins. At the same time, if some one has made huge profit by trading the bitcoins then they may have to pay tax as per the authorities decision.

But still i think that, it is good step by the indian government in order to streamline the cryptocurrencies.

I consider India as one of the biggest market for Bitcoin and cryptocurrency and if this market can be officially opened soon am sure that it can be swaying the value of Bitcoin upwards. The government is having a hard time on how to treat Bitcoin and how to regulate and tax the whole thing. However, this is quite understandable since Bitcoin is still new. I am wishing that India take the cues provided by Japan where Bitcoin is fully embraced under strict regulations. We hope to finally welcome India to the Bitcoin bandwagon soon maybe within 2018...it would be a big party by then.

I would be the happiest person on earth if it happens. I too came across such news from some national news papers bureaucrats these are not certain till date. They are just speculating. It is true that Indian finance ministry has formed a committee to debate on crypto currency and to draft a recommendation to be presented in front of the parliamentary committee.

However, Indian government is run by old bureaucrats who has limited brain power to understand the power of crypto currency. So I have a very little expectations from them. But if India decides to tax on bitcoin and legalize it, it will bring a huge positive impact on overall Cryptocurrency market.

Although the RBI advises caution on its use, bitcoin is not illegal in India. Cryptocurrency exchanges operate freely and hence we can say that bitcoin is legal
Source: http://www.livemint.com/Money/uQIHZ7521LBgHClnuP66YM/Bitcoin-regulations-in-India.html

According to the India government the crypto currency tradeing is not illegal nor legal you can do crypto currency tradeing but you just need to give the transaction details

I am not quite sure why the taxing of a certain transaction would change the legal status of the traded good. I guess they do just clearify that the gains, made with cryptocurrency are taxable and if you trade with crypto it is taxable as well. This does not make it a legal currency at all.