Bitcoin Forum

This topic is about Indian income tax 30% and opening bank account in other country.

Let me know guys which countries are having 0% tax like Portugal and it should be easy to open bank account in that country. This topic will be in demand as many Indians are finding it so difficult to pay up 30% tax from their income, while most other countries like Thailand and USA have 15% tax.

I don't think it's a feasible solution to bypass 30% tax bracket. You can definitely try opening a bank account in tax heaven countries like UAE, Cyprus, Panama, The Cayman Islands, Bermuda etc. But whenever you want to use the fund, you will have to repatriate the fund to India through a banking channel. So unless you are able to show a different source of income from those countries, you will land in a big legal trouble with government departments.

If you are planning to use international debit cards, then you will be charged currency conversion for each transaction which is usually a lot higher than the market price. Also I wouldn't advise your stay at wrong side of the law. legal troubles in India take decades to resolve. You surely wouldn't want such things to happen with you.

There is a huge difference between receiving money in a bank account and paying taxes.

As @avikz mentioned, you will still have to pay tax where you're located, for example since I'm in the EU I could open a bank account in Germany in minutes, sell some coins on Bitstamp and have the cash wired there, do you think I will just get away with it and I won't have to pay taxes in my own country?

Everyone in the U would be opening German and Portuguese bank accounts and nobody would be paying a dime in taxes, but taxes are not paid on money transfers, they are paid on income! So unless you manage to set up a business there, run that business under Portugal laws, manage somehow to slip your coins in the assets, and then only use that business as a cover for your personal purchases in theta country while not getting in trouble with the IRS, you won't be avoiding anything. But most likely you will face jail time for all this.

Oh, and one more thing, it doesn't matter even you sell your coins to some stranger f2f, it's the same thing, you're covering the tracks of the exchanging, you're not hiding your money. Off-shore accounts only work because nobody is stupid enough to withdraw money from those to their own bank account!  :D

This huge amount of tax was totally expected from me in India and some other countries where there are many active bitcoin cryptocurrency investors since there are many investors and active people who are from India even here on the forum and many other cryptocurrency rated communities and these people are getting profits from what they earn that's normal to see the governments eyes can see this interest from people and looking for a way to make some earnings from this chance. But I this opening a new bank account in other countries cannot solve this problem in this case.

Ouch, that 30% tax is pretty crazy. India seems to have a bit of an odd relationship when it comes to bitcoin and
Cryptocurrency, one day they are deciding to ban it then the next they are deciding to tax the ever living hell out of it.

Hopefully you guys can find a decent way around this or vote someone in to create change

If you want the society works, you can not ask for tax-free because it is how different components in a society support mutually. I know there are some discrepancies among people on how they work (laborious or lazy), what they earn, what they spend for tax or receive from social security.

However, I do think tax is necessary for society operation. There is nothing perfect and governments can use citizen tax in wrong way.

As far as I know India has a very high count of poor population, how come their sidewalk stalls survive if this has come to affect them also? Or is it just for big establishments? Can you elaborate which is sector is affected with 30 percent tax?