This levy includes cryptocurrency exchanges, as well as NFT (Non-Fungible Token) trades.
By introducing taxation, India has legitimized cryptocurrencies, and removed the fear of a ban on trading.
It’s free, every week, in your inbox.
Lets take a look at how exactly this new regulation will work.
How will the new tax scheme work?
The taxation part is more important for common cryptocurrency traders.
But if both your coins sell for 50 each, you cant claim any losses.
This will expectedly drive people to invest cautiously and stay away from volatile tokens.
The new rule will be effective from April 1, 2023 for the assessment year 2023-24.
However, the limit resets for your wallet/account in another exchange.
Plus, it will weed out miscreants looking to use the market to avoid tax payments.
In the global context, Indias crypto tax might offer a unique form of regulation.
Some markets such asthe USandthe UKallow you to offset your crypto losses in overall capital tax gains.
Then there are crypto havens, such as Portugal and Dubai with no taxes.
India might be one of the first countries not to allow any offsets.
This will hopefully ensure there are noFyre Festival for cryptoprojects in India.
That’s one heck of a mixed bag.
He likes to say “Bleh.
That’s one heck of a mixed bag.
He likes to say “Bleh.”
