Maybe we found a way to avoid taxation!!??

[milewilda]

Best thing you can do to eliminate all risk is just leave India. Emigrate to a country with 0% tax on crypto. There are plenty around if you do your research, it’s not hard to find.

Easy to say but not all would really be willing on the country where they do live in or where they get used to be but if you do have crypto assets which is really worth to transfer on other countries
then its your choice to make if you do see that 30% taxation is too much which is truly inhumane and if you are really that having main source of income from crypto
then you would really be having this kind of consideration on getting this option yet 30% deduction is really too much.

[X-ray]

On February 1, 2022, India announced 30% taxation on cryptocurrencies.

30% is a big number and as an investor and trader, I do not like it.

That's a lot. If you earn 5k and then you must pay 1,5k as your tax.

I have something in my mind, I want to create a smart contract where the contract will be controlled and will be buying and selling cryptocurrencies i.e will be controlled by the smart contract creator from different exchanges or p2p sources in such a way that it will be likely to pay taxes[ALMOST 90% of the times] to the Indian government.

That's good idea but really hard when it comes to the implementation.

This will cut down most of the transaction taxation of cryptocurrency.

is not it the taxation will be happened when you have been converting your unrealized profit to be realized profit? i meant as long as you keep your money in the cryptocurrency form and you will not be taxed. CMIIW.
Im thinking if that will need your realized profit and this data will be taken from the centralized exchange site as mostly cex was forcing their users to did KYC

[wxa7115]

Best thing you can do to eliminate all risk is just leave India. Emigrate to a country with 0% tax on crypto. There are plenty around if you do your research, it’s not hard to find.

While that would be the perfect way to legally avoid paying those taxes at the same time it is the most extreme measure that a person can take and it is not something to be taken lightly.

After all besides bitcoin people have other aspects of their lives they appreciate, like their home, jobs, family and friends and to leave everything behind is not something easy to do, so this is something that can only be considered if the benefits you get from saving yourself those taxes are big enough to offset the costs you are going to pay by moving on from the country in which you currently reside.

[mirakal]

I'm not sure if that idea will work, the only way to avoid taxes is not paying a tax at all, and that is illegal in any perspective. In accounting teams, tax avoidance is called the art of accounting but you also have to be careful that you do it right as not playing tax would really mean you'll face the consequences of tax evasion.