People pay your Taxes

[sgk]

Paid tax feeling good
Declared Bitcoin earnings and got clean signal from IT central processing .

Did you declare it as capital gain or "other income"? I may have to declare my earnings this year and I'm curious how you classified it.
(This is important because long term capital gain usually attracts 20% tax while "other income" falls into regular bracket which can go up to 30%)

Well i don't know much deep how my CA showed it . But its should be as Other Income , My filling checked by Central processing of IT and received no demand intimation from them ; as far i know he didn't mention any short term or long term capital gain instead he pushed it in my Export of Service category of my business which also attract NIL GST rate for my GST .

Thanks for sharing, this will be helpful. Appreciate it!

[deathwish]

As of today, the government has not clarified on the questions from the bitcoin community and from the exchanges on how the taxes should be filed and the criteria. Only intimation available that I know of is that Government as said that 'Bitcoin transactions will be taxed'. That leaves so many questions open. its only Open to manipulation. ;invest in a good lawyer or CA to get you through these taxes.

And if anyone get some concrete direction, do post it here...

And one more thing...
Always pay your taxes  no matter if its extortion, or if it theft by the government or if the government does build roads or whatever.

[Blackshadow007]

As of today, the government has not clarified on the questions from the bitcoin community and from the exchanges on how the taxes should be filed and the criteria. Only intimation available that I know of is that Government as said that 'Bitcoin transactions will be taxed'. That leaves so many questions open. its only Open to manipulation. ;invest in a good lawyer or CA to get you through these taxes.

And if anyone get some concrete direction, do post it here...

And one more thing...
Always pay your taxes  no matter if its extortion, or if it theft by the government or if the government does build roads or whatever.

For now you should file it as Capital gain and keep record of all your trades in excel or something like that . Then pay tax as Short term or Long term Capital gain . Talk with your CA .

[eXpl0sive]

https://www.coindesk.com/indian-lawyer-files-petition-demanding-cryptocurrency-regulations/

[gopaljiverma]

Most of the people think that it is easy to get away with taxes in India. In reality, it is very easy for RBI and banks to track your investments in BTC,thus pay your taxes.

[shailkumari]

I have seen a lot of people trying to hide taxes especially the ones using localbitcoins. They forget the fact that government can trace them based on earnings received in their bank accounts.

[sgk]

I have seen a lot of people trying to hide taxes especially the ones using localbitcoins. They forget the fact that government can trace them based on earnings received in their bank accounts.

Many of the localbitcoins trades are cash-in-hand transactions.

[amitydv5]

Is there any limit?
and what if you have only invested the money and did not take any profits yet?

so can you guide us on where to look into taxation for cryptocurrencies in India?

Also is it valid for if people have only invested less than 1 lakh

Please respond

Thank you!

[saurabh]

https://www.coindesk.com/indian-lawyer-files-petition-demanding-cryptocurrency-regulations/

How come Bitcoin be regulated by Indian government as its not possible either this lawyer does not know how the technology work or he is just making a hype.

[knoxshaan]

Income up to Rs 3,00,000   No tax

Income from Rs 3,00,000 – Rs 5,00,000   5%

Income from Rs 5,00,000 – 10,00,000   
20%

Income more than Rs 10,00,000 30%

I'm not fit any figure, btw I followed the Indian government rules and regulations.

[knoxshaan]

Is there any limit?
and what if you have only invested the money and did not take any profits yet?

so can you guide us on where to look into taxation for cryptocurrencies in India?

Also is it valid for if people have only invested less than 1 lakh

Please respond

Thank you!

Go to here for more details: https://cleartax.in/s/income-tax-savings

[djbabu]

Hi

There is lot of confusion

now check this out

http://www.thehindubusinessline.com/money-and-banking/bitcoin-investors-may-have-to-pay-capital-gains-tax/article10004806.ece

http://www.thehindubusinessline.com/markets/icai-to-conduct-study-on-cryptocurrency/article10051824.ece

http://www.thehindubusinessline.com/opinion/taxing-cryptocurrencies-in-india/article10012267.ece

[sgk]

Hi

There is lot of confusion

now check this out

http://www.thehindubusinessline.com/money-and-banking/bitcoin-investors-may-have-to-pay-capital-gains-tax/article10004806.ece

http://www.thehindubusinessline.com/markets/icai-to-conduct-study-on-cryptocurrency/article10051824.ece

http://www.thehindubusinessline.com/opinion/taxing-cryptocurrencies-in-india/article10012267.ece

USA has classified crypto as capital asset. Indian finance ministry has said previously that crypto is not legal tender (currency), hence it makes sense for India too classifying it as  capital assets.
It makes much more sense and also makes easier for them to tax it.

[djbabu]

Hi

There is lot of confusion

now check this out

http://www.thehindubusinessline.com/money-and-banking/bitcoin-investors-may-have-to-pay-capital-gains-tax/article10004806.ece

http://www.thehindubusinessline.com/markets/icai-to-conduct-study-on-cryptocurrency/article10051824.ece

http://www.thehindubusinessline.com/opinion/taxing-cryptocurrencies-in-india/article10012267.ece

USA has classified crypto as capital asset. Indian finance ministry has said previously that crypto is not legal tender (currency), hence it makes sense for India too classifying it as  capital assets.
It makes much more sense and also makes easier for them to tax it.

Capital assets like shares ?

Long term capital gain etc ?

[djbabu]

Hi

Finally Jaitley said "The government does not consider cryptocurrency as legal tender and will work towards eliminating illicit transactions going on through crypto assets," says Finance Minister Arun Jaitley"

http://www.news18.com/news/business/budget-2018-live-updates-presidents-salary-up-to-rs-5-lakh-a-month-veep-to-get-rs-4-lakh-per-month-1647303.html

Now who is going to ask tax for it then ?

[sgk]

Hi

Finally Jaitley said "The government does not consider cryptocurrency as legal tender and will work towards eliminating illicit transactions going on through crypto assets," says Finance Minister Arun Jaitley"

http://www.news18.com/news/business/budget-2018-live-updates-presidents-salary-up-to-rs-5-lakh-a-month-veep-to-get-rs-4-lakh-per-month-1647303.html

Now who is going to ask tax for it then ?

In an interview after the budget session, Jaitley said a dedicated committee is working to further clear gov's stand on the matter. I believe in coming weeks we'll have more clarity.
I really hope they classify it as a capital asset (like USA did) and the exchanges / trading is termed legal business.

[djbabu]

Hi

Finally Jaitley said "The government does not consider cryptocurrency as legal tender and will work towards eliminating illicit transactions going on through crypto assets," says Finance Minister Arun Jaitley"

http://www.news18.com/news/business/budget-2018-live-updates-presidents-salary-up-to-rs-5-lakh-a-month-veep-to-get-rs-4-lakh-per-month-1647303.html

Now who is going to ask tax for it then ?

In an interview after the budget session, Jaitley said a dedicated committee is working to further clear gov's stand on the matter. I believe in coming weeks we'll have more clarity.
I really hope they classify it as a capital asset (like USA did) and the exchanges / trading is termed legal business.

Then only 10% tax correct ?

[sgk]

Hi

Finally Jaitley said "The government does not consider cryptocurrency as legal tender and will work towards eliminating illicit transactions going on through crypto assets," says Finance Minister Arun Jaitley"

http://www.news18.com/news/business/budget-2018-live-updates-presidents-salary-up-to-rs-5-lakh-a-month-veep-to-get-rs-4-lakh-per-month-1647303.html

Now who is going to ask tax for it then ?

In an interview after the budget session, Jaitley said a dedicated committee is working to further clear gov's stand on the matter. I believe in coming weeks we'll have more clarity.
I really hope they classify it as a capital asset (like USA did) and the exchanges / trading is termed legal business.

Then only 10% tax correct ?

Apparently:
STCG tax (short term, profits made within 3 years) is taxed at normal rates based on your income slab, which can go up to 30%
LTCG tax (long term, profits made after 3 years) is taxed at 20% + surcharge and education cess

Reference: https://cleartax.in/s/capital-gains-income#assets

EDIT:
10% LTCG tax if you term crypto as "equity" asset
20% LTCG tax if you term crypto as "debt" asset
There is a gray area here and everyone has their own way of interpretation until government clarifies anything.

I personally think the new move of government to put 10% tax on LTCG equity assets is probably in line with their future plans of taxing people with crypto profits. So in near future the government may put crypto into "equity" category which will allow them to tax the profits @ 15% and 10% for Short Term and Long Term respectively.

[BitcoinTesla]

Hi ,
as  i  have  noticed,  that  many  have  now  started actively purchasing  and  selling  Bitcoins  using  your  bank accounts. so now i will strongly  advise,  you  to  keep  records  of all  transactions  occurring  in  INR , weather  it is in  cash or online. These  are  necessary  when  you file  in your  returns next  year,and  the amount  you  pay  for tax. Remember  all  bank  transactions   will always  go through  the RBI  before   arriving  to the destination  account  so all  records  are  kept. and  Tax  envision is  a  serious  crime. So please  do  follow  the practice  of  proper  tax  payment.  

I  want all of  you  to  please  follow  the practice  of  paying  your  taxes and  following  the   Tax  laws  properly.  this  atleast, will  ensure  that  our  little  community  is  law  abiding  and  working  towards  the  progress  of a  free and  decentralized  community .

You shouldn't be into this space if you're willing to pay TAX, LMAO! Crypto Currencies are DECENTRALIZED and they meant to be FREE from anyones hold i.e. Government and their taxes etc. This space has to be CLUTTER FREE from their TRADITIONAL THEFT's i.e. TAX, CAPITAL GAIN TAX, THEIR WIFE TAX, THEIR CAR TAX, THEIR LUXURY TAX ETC.

[mishrakjr]

still we r confused of govt. polices always it in unclear ,when u start understand that time another statement or a new police into take the part