Finance Minister Nirmala Sitharaman made a big announcement about cryptocurrencies while presenting the country's general budget on Tuesday. Under this, income from cryptocurrencies will now have to pay a tax of 30 percent. Along with this, TDS will be deducted at the rate of 1% for the transfer of virtual digital assets. According to the government, even if cryptocurrency is given as a gift, the recipient of this precious gift will also have to pay 30 percent tax. After all, what is the government's formula, how the tax will have to be paid, and how much TDS will be deducted? Let us know what crypto expert Hanif Sheikh told us to explain it in simple words.
That much of the income from crypto will be deducted
The Finance Minister did not use the word cryptocurrency anywhere in his entire budget speech, but his announcement on virtual currency and the digital asset is being considered in this direction. The Finance Minister announced the imposition of a 30 percent tax on income from virtual currency or digital assets. Regarding this, Hanif Sheikh, CEO and crypto expert of Upsocial Network, says that suppose you invested 1 lakh rupees in cryptocurrency, after this investment you got a profit of 50 thousand rupees, then the government would pay this 50 thousand rupees as tax. 30 percent tax will be deducted on profits, that is, out of this earning you from crypto, Rs 15000 will go to the government's account.
Tax will be levied on the gift taker
Apart from this, the Finance Minister has also announced in his budget speech to impose a hefty 30 percent tax in the case of gifting of AC property. It can be understood in this way that if you give a cryptocurrency gift of Rs 1 lakh to someone, then to whom you are giving this precious gift i.e. 30 percent tax will apply to the recipient. If you gift a cryptocurrency worth Rs 1 lakh, then he will have to pay 30 percent of it or Rs 30,000 as tax to the government. Siddharth Jaiswal, the founder of SportChain, says that the decision to impose a 30 percent tax on crypto income is a bit surprising, but crypto investors in India are considering it as a positive step of the government. This move will eventually make investors think twice while deciding where to invest their money in this risky crypto market.
Calculation of 1% TDS
TDS i.e. Tax Deducted at Source is a part of Income Tax. Talking about the announcement of the government, you will have to pay TDS of 1 percent on the transaction of any kind of cryptocurrency. If you understand in simple language, if you have done a transaction of cryptocurrency of Rs 1 lakh, then 1 percent TDS will be deducted from the amount of this transaction when it comes to your account. By deducting TDS, the government will get a complete account of the cryptocurrency transactions done from your account. Meaning in a way, TDS is levied to keep an eye on the transactions of cryptocurrencies.
Nepal's economic condition bad: Big loss to India; Nepal bans import of all non-essential goods, only 6 months of foreign money left
After Sri Lanka, now the economic situation in Nepal with a population of 30 million has started deteriorating. In the financial year July 2021-July 2022, there has been a huge decrease in its foreign
IPL: When Sourav Ganguly told Shoaib Akhtar on dismissing Sachin Tendulkar - people will kill you
Former Pakistan fast bowler Shoaib Akhtar got a chance to play in the first season of the Indian Premier League (IPL). Akhtar was part of the Kolkata Knight Riders (KKR) team in the 2008 IPL. The
Rapid improvement in economy: Recruitment at 33-month high, Tata will give jobs to 45 thousand women
October has been good for the manufacturing sector on the back of slow but strong growth in new orders and production. Manufacturing activity last month rose to 55.3 apiece amid price pressure. During
Windfall Tax: Center changed its decision in 19 days, the windfall tax on petrol was abolished, tax cut on ATF-Diesel
Because of the softening of crude oil prices in the global markets, the central government has cut the windfall tax imposed on the export of petroleum products from the country. It is believed that
Haryana's air becomes 'very poor': 6 districts reach Red Zone; AQI crosses 400 in 2 districts, situation is deteriorating in 5 cities as well
The air in the cities of Haryana has reached the stifling category. Most parts of the state have been engulfed in fog. Due to this, the air quality (AQI) in the cities has reached 'Very Poor' i.e.
Shraddha Murder: New twist in Shraddha murder case due to water bill, caretaker made big disclosure about Aftab
Every day new and shocking revelations are happening in the investigation of Delhi Police in the barbaric murder case of Mumbai girl Shraddha Walker. Meanwhile, the water bill of the Chhatarpur flat
Deafconnect 2.0: Rajnath Singh said - the global system is changing rapidly, there is no option but to strengthen itself
On the ongoing war between Ukraine and Russia, Defense Minister Rajnath Singh said on Friday that the global order is changing rapidly. In such circumstances, India has no option but to strengthen
Second earthquake in Taiwan in 2 days: magnitude 6.9 on Richter scale, tsunami alert issued in Japan; Yesterday there was a 6.6 magnitude earthquake
An earthquake struck off the southeast coast of Taiwan on Sunday. According to the US Geological Survey, the earthquake measured 6.9 on the Richter scale. Before this came the initial small tremors.
RCB's Dinesh Karthik got reprimanded before 2nd qualifier match, know the reason
Royal Challengers Bangalore's star wicket-keeper batsman Dinesh Karthik has been reprimanded for violating the IPL Code of Conduct during the Eliminator match of the Indian Premier League 2022. This
Test heartbeat, oxygen, and stress level in just 15 seconds with this newly launched watch, which cost less than 4 thousand
Amazon Deal On Smart Watch: If you want to buy a smartwatch that gives complete data on your fitness, battery life is very good and is also equipped with other smart features, then definitely check
