India’s Crypto Tax Update: 20x Gains for Early Investors with This Coin

The cryptocurrency taxation framework in India has undergone several deliberations that have prompted the Income Tax Department (ITD) to introduce a revolutionary tax system in the world of cryptocurrencies.

In 2022, the tax system will impose a 30% tax on profits derived from virtual digital assets (VDAs) or cryptocurrency earnings.

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Amid these developments, this coin may be poised to explode as the next cryptocurrency to reach $1. Understanding the implementation of crypto tax in India is essential for investors as they need to adhere to the law. Let’s take a closer look at the latest updates.

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Current tax structure for cryptocurrencies in India

The Income Tax Act now includes two major key sections – Section 115BBH and Section 194S, which outline the taxation of cryptocurrencies, NFTs, tokens and other VDAs. Under these sections, a flat tax of 30% on profits from VDAs will be implemented, which will be further accompanied by a 1% tax deducted at source (TDS) on all cryptocurrency transactions. In addition, non-commercial income from VDAs may be subject to income tax at individual rates, further complicating the tax implications for investors.

Further tax split:

• 30% Profit Tax: All profits from trading, selling or spending cryptocurrencies will be subject to a flat 30% tax along with a 4% “cess” tax. This applies to an individual for both short-term and long-term gains.

• 1% Tax Deducted at Source (TDS) : Additionally, a tax deducted at source (TDS) of 1% is also applicable on transactions exceeding ₹50,000 in a financial year (or ₹10,000 in certain cases). This has been introduced to improve tracking of cryptocurrency transactions.

Income Tax Appellate Tribunal (ITAT) in Jodhpur

The Income Tax Appellate Tribunal (ITAT) in Jodhpur has passed legislation related to the world of cryptocurrencies. Transactions after April 1, 2022 and any crypto gains by investors come under the ambit of capital gains instead of income from other sources.

Investors must disclose their cryptocurrency income to comply. The relevant reporting forms include ITR-2 for capital gains and ITR-3 for business income. Failure to comply with this law will result in the imposition of penalties.

Investment Opportunities.

This emerging coin aims to become the next cryptocurrency to reach $1. DexBossis a cryptocurrency with the potential to offer 20x gains in 2025.

The DEBO pre-sale is progressing steadily, with 44% of the target funds raised, amounting to $332,347 of the $750,000. Early investors only have 19 days left, so they can still secure this token at the current discounted price of $0.011.

With the projected price of $DEBO reportedly set to reach $0.0505, the token could potentially see an impressive 400% rise soon, presenting an enticing opportunity for investors aiming to cash in on the next big trend in the crypto market.

As the DexBoss (DEBO) pre-sale nears its end, several investors have already made investments, thanks to which the coins are receiving a huge amount of attention in the crypto market. It supports over 2,000 cryptocurrencies on its user-friendly interface, making it ideal for traders and investors of different skill levels.

The goal of this deflationary paradigm is to encourage long-term growth and boost investor confidence. A large number of DEBOs have been reserved for pre-sale participants out of a total allocation of 1.5 billion.

Conclusion

Understanding the cryptocurrency tax changes in India will allow investors to successfully navigate this expanding market and make future choices based on accurate information. With a single tax rate and accurate reporting standards, the tax landscape for digital currencies in India is strict yet transparent. If an investor wants to avoid penalties, this law should be kept in mind for each of their investment options.

This publication is sponsored. CryptoDnes does not endorse and is not responsible for the content, accuracy, quality, advertising, products or other materials on this page. Readers should do their own research before taking any action related to cryptocurrencies. CryptoDnes shall not be liable, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with use of or reliance on any content, goods or services mentioned.

Kosta Gushterov

Kosta has been working in the crypto industry for over 4 years. He strives to present different perspectives on a given topic and enjoys the sector for its transparency and dynamism. In his work, he focuses on balanced coverage of events and developments in the crypto space, providing information to his readers from a neutral perspective.