Does we can pay income tax for crypto bans by india and how we can declare?

[vijaykumarcmeseo20019]

Hello!

Now let us say for example

Govt bans crypto and bans bank transactions from users to use exchanges for buying and selling.

Now let us say 1 year has complete now we are in 2021 and in 2021 govt bans crypto.

Next in 2022 if i want to sell my holdings via other sites which offer person to person like www.localbitcoins.com

Next if i sold my holdings of bitcoins worth in 2022 through local bitcoins can income tax dept accept if i pay taxes for that income?

and if yes how can i declare that income.........? business income or any other.

I request  to view question carefully till the end and give your precious answers.

Thanks!

[vennali]

Wrong section. Best to move it to the main thread(India) where it is a lot more relevant.
Regarding the answer to the question. I suppose you could tax it as business income. You have to show where you got the fiat money from right? So, that's where you can categorize it as business income and any profits you make from it will be again taxed separately according to slab rate. That is, if you want your crypto conversion to be taxed. If you dont want any hassle regarding the same. Just HODL.