India taxes Cryptocurrencies at 30%, what's next?

[Gozie51]

How are they going to tax it? A cold wallet can be used by anyone, and they have no method of taxing it, right?

I think if someone tries to cheat, there is still a way that the evader can be exposed. Example someone can make a report to the government about not paying tax and the person can be arrested and prosecuted especially in countries that are regid about tax payment and evasion.

[zasad@]

https://techcrunch.com/2024/01/10/is-india-done-with-crypto/
"Apple delisting a dozen global crypto apps — relied by big traders in India, in part due to its tax evasive properties — from its Indian App Store seems the final nail in the coffin, capping a brutal two years. The pending removal across Google Play, internet providers and beyond caps a journey mired with shutdowns, pivots and relocations abroad for Indian crypto startups. The web3 dreams of local entrepreneurs now appear dashed against the rocky shores of regulatory resistance.

Some entrepreneurs are still fighting for the Indian crypto dream, requesting New Delhi reconsider the punishing 30% crypto tax. But the tea leaves clearly foreshadow what lies ahead. Lawmakers continue to painstakingly crystallize their stance."

[avikz]

https://techcrunch.com/2024/01/10/is-india-done-with-crypto/
"Apple delisting a dozen global crypto apps — relied by big traders in India, in part due to its tax evasive properties — from its Indian App Store seems the final nail in the coffin, capping a brutal two years. The pending removal across Google Play, internet providers and beyond caps a journey mired with shutdowns, pivots and relocations abroad for Indian crypto startups. The web3 dreams of local entrepreneurs now appear dashed against the rocky shores of regulatory resistance.

Some entrepreneurs are still fighting for the Indian crypto dream, requesting New Delhi reconsider the punishing 30% crypto tax. But the tea leaves clearly foreshadow what lies ahead. Lawmakers continue to painstakingly crystallize their stance."

That is exactly what the Indian government wants. They precisely know that 30% tax is way higher than a common Bitcoin user can afford. So people from India moved to international exchanges who has no data sharing agreement with the Indian government. It was a smart move initially for the big crypto traders, but Indian government is catching up faster than expected.

Now since they are banning the international exchange and forcing IOS and Android to delist they are apps, Indian crypto holders will be somewhat forced to use Indian exchanges and government will get notified by the exchanges themselves. Now the government has started taking smart moves. Probably as slow death to Indian crypto community.

[zasad@]

https://www.coindesk.com/business/2024/03/11/indian-crypto-investment-platform-mudrex-to-offer-us-bitcoin-etfs-to-indian-investors/
Indian Crypto Investment Platform Mudrex to Offer U.S. Bitcoin ETFs to Indian Investors
Mudrex is a Y-Combinator-backed, California-headquartered entity with a subsidiary registered with the Intelligence Unit of India.
"Indian cryptocurrency investment platform Mudrex is now offering U.S. spot-bitcoin exchange-traded funds (ETFs) to Indian investors.
Mudrex will initially list four spot ETFs – BlackRock, Fidelity, Franklin Templeton and Vanguard."

[YOSHIE]

Is there any possible way to legally avoid the taxations?

My understanding is that 30% tax is too big for the rules and laws implemented by the Indian government, I believe this will have a negative impact on all elements, especially crypto, It's useless if crypto is legal in India, if the tax imposed is 30% it's the same as turning off crypto users.

Even though taxes are imposed on exchanges operating in India, of course this will have a negative impact on crypto users as a whole, the tax burden is certainly the exchange users bear, Like it or not they have to pay for every transaction they make, I think this is an impartial policy for crypto users there, a legally oppressive policy.

Indeed, the Indian government always oppresses, especially low castes, many in the ruling Indian parliament are high castes, they often implement laws/laws that don't make sense for low castes, so that they cannot develop, this shows that the Indian government chooses love and stepchildren for the lowly, this is an oppressive rule for 30% tax.

[pakhitheboss]

My understanding is that 30% tax is too big for the rules and laws implemented by the Indian government, I believe this will have a negative impact on all elements, especially crypto, It's useless if crypto is legal in India, if the tax imposed is 30% it's the same as turning off crypto users.

This is a two year old topic and was created when the government of India announced the crypto tax regulation. In recent times every cryptocurrency trader, investor, and employee who is paid in cryptocurrencies in my country has found numerous loopholes in this law and accordingly, everyone now knows how they can save 30 percent tax on capital gain. The pain area is still the 1 percent tax deduction at source (TDS) to which the community has found a loophole which is using of international exchanges as they do not have that kind of system in place.

Even though taxes are imposed on exchanges operating in India, of course this will have a negative impact on crypto users as a whole, the tax burden is certainly the exchange users bear, Like it or not they have to pay for every transaction they make, I think this is an impartial policy for crypto users there, a legally oppressive policy.

It did have a negative impact in those days but now it is normal. The government again placed a shadow ban on International exchanges but the volumes are still high on those 8 exchanges.

Indeed, the Indian government always oppresses, especially low castes, many in the ruling Indian parliament are high castes, they often implement laws/laws that don't make sense for low castes, so that they cannot develop, this shows that the Indian government chooses love and stepchildren for the lowly, this is an oppressive rule for 30% tax.

I do not agree with your thoughts on the caste system in India as you have not done your research properly. I do agree it is still a problem in rural areas of my country but it has reduced in the last 15 years. Let me assure you that the Priminister and the President of my country belong to the lower cast. The caste problem within the Hindu community has reduced drastically but you won't believe me the problem is big in the Muslim and Christian communities. They may have got converted to other religions but they have not forgotten their roots. If you do not agree with me then do a Google search on Pasmanda Muslims and you will find the answer.

[zasad@]

30 percent capital gains tax is a lot.(Russia it is 13%). With such taxes, there will always be people who will make money on the difference between the amount of tax in different jurisdictions and the shadow sector of cryptocurrency exchange will actively develop.
On the one hand, the government will actively fight this, but on the other hand, there will always be officials and police who will be ready to help this business for bribes. In

[pakhitheboss]

30 percent capital gains tax is a lot.(Russia it is 13%). With such taxes, there will always be people who will make money on the difference between the amount of tax in different jurisdictions and the shadow sector of cryptocurrency exchange will actively develop.
On the one hand, the government will actively fight this, but on the other hand, there will always be officials and police who will be ready to help this business for bribes. In

I do agree 30% tax is too much to handle in the current economic situation. However, the Indian community found a loophole and they left Indian exchanges to hide their capital gains. Which was working for some time now until the government placed a shadow ban on international exchanges. We still can access those exchanges but a new user can't due to the unavailability of these apps on both the Google store and iOS app store. 

Yes, the stupid law has encouraged activities that are term illegal and unless the government does not come up with a new tax scheme these activities will increase. If the government does not then a lot of big traders will leave the country and go to tax heaven like UAE or will come up with new exchanges like Pi42 exchange which is only a futures exchange in India. As the government has not come up with a tax law for future trading in cryptocurrencies this exchange is now thriving. Although I believe that futures trading is nothing more than gambling.

[zasad@]

30 percent capital gains tax is a lot.(Russia it is 13%). With such taxes, there will always be people who will make money on the difference between the amount of tax in different jurisdictions and the shadow sector of cryptocurrency exchange will actively develop.
On the one hand, the government will actively fight this, but on the other hand, there will always be officials and police who will be ready to help this business for bribes. In

I do agree 30% tax is too much to handle in the current economic situation. However, the Indian community found a loophole and they left Indian exchanges to hide their capital gains. Which was working for some time now until the government placed a shadow ban on international exchanges. We still can access those exchanges but a new user can't due to the unavailability of these apps on both the Google store and iOS app store.  

Yes, the stupid law has encouraged activities that are term illegal and unless the government does not come up with a new tax scheme these activities will increase. If the government does not then a lot of big traders will leave the country and go to tax heaven like UAE or will come up with new exchanges like Pi42 exchange which is only a futures exchange in India. As the government has not come up with a tax law for future trading in cryptocurrencies this exchange is now thriving. Although I believe that futures trading is nothing more than gambling.

In russia, Google store does not have many applications of major russian banks, but they are available in samsung store, rustore, getapps (sanctions work  ) or the application can be downloaded from the official website of the bank.
I don't think new users will have problems because you can always use the web interface.
Prohibition policy always works badly. A professional will always find a way to access the exchange, while a beginner usually loses money on the exchange.

[safar1980]

Cryptocurrency dealing not offence under OPID Act: Orissa HC

CUTTACK: In a significant ruling, the Orissa High Court has held that crypto currency is not money as per Prize Chits and Money Circulation Schemes (Banning) Act and investments made by public in it cannot partake the nature of deposit within the meaning of Odisha Protection of Interests of Depositors (in Financial Establishments) Act.

The single judge bench of Justice Sasikanta Mishra gave the ruling while granting bail to two persons accused of duping people of their hard-earned money by operating a ponzi/multi-level marketing (MLM) scheme in the name of a fake crypto currency company. “Mere dealing in crypto currency cannot be treated as illegal in any manner. Hence, it cannot be treated as offence under the OPID Act,” Justice Mishra ruled.

[paraschivrazvan25]

Yesterday i.e. 1st February 2022 India announced its budget, and in the session, it stated that crypto transactions will be taxed at the rate of 30%. There is very less to be sure of what is the impact of the following decision[ +ve or -ve]

I see that taxing cryptos has one good pro here i.e. it can be said that cryptocurrency is legal in India or maybe?

There are several cons as 30% is a big share.

Is there any possible way to legally avoid the taxations?

It seems to me an excessively large amount......










 inchirieri auto

[KingsDen]

Is there any possible way to legally avoid the taxations?

Maybe bitcoin-backed loan. I know that loans (in general) aren't taxable in the US but you may verify it's the same in India.

Legally avoid taxation;
Are you referring to what they call using the taxation loopholes? This is my second time of hearing this in this board. I don't know much of these terminologies because my country is not strict on taxation. Although they have announced cryptocurrency taxation but they have not started yet. If your country uses the PAYE method of taxation, please ensure that you pay your tax.

[NotFuzzyWarm]

<snip>
I see that taxing cryptos has one good pro here i.e. it can be said that cryptocurrency is legal in India or maybe?
<snip>
Is there any possible way to legally avoid the taxations?

The government having crypto tax laws in place does not explicitly mean using crypto is legal. The Marihuana Tax Act of 1937 enacted in the US comes to mind - if one brought 'product' to IRS building in Washington DC you could obtain a Tax stamp for it and only then - be legally able to possess/transport/use what you brought & declared to the IRS. Problem was that of course growing & then transporting it to Washington to get a Tax stamp WAS highly illegal so....

That said, India now starting to have crypto tax laws & regulations on the books should certainly be a good start to allowing its use.

As for legally avoiding the taxes using possible loopholes - all depends on how India's financial laws are worded and how they will be interpreted by the courts.

[larry_vw_1955]

I do agree 30% tax is too much to handle in the current economic situation. However, the Indian community found a loophole and they left Indian exchanges to hide their capital gains.

good for them. hiding those capital gains.  by hiding their capital gains their government won't be aware that they owe any taxes!

[pakhitheboss]

I am still wondering why this topic is till on the wrong board. If OP can legally provide solution then it will be great, if not why suddenly this topic got activated?

There are some questions that I have in my mind as this topic should have been on my local board. I am going to report this topic to the mods and if mods do not move this post to Indian local board then I am going to make an issue.

I know this guy is a scammer, do a little bit of check you will know what this scammer is doing. I will rest my question to the mods as they are not qualified anymore to understand this scam.