With the beginning of the new month, many new changes are also seen. Many rules are changed and many new rules are implemented. As it is known that the new financial year is going to start from tomorrow i.e. from 1st April. So if you are a crypto investor then you need to be careful. Because with the new financial year, the tax burden on you is also going to increase.
There will be no loss till March 31
According to the announcement made by Union Finance Minister Nirmala Sitharaman during the Budget 2022, from April 1, income from cryptocurrencies or NFTs or other crypto assets will have to be taxed up to 30 percent. Along with this, one percent of TDS will also be deducted from this transaction. So if you have bought any cryptocurrency then sell it today. Because if an investor sells crypto by March 31, then the profit made in this financial year will be added to his income and tax will be deducted accordingly in the tax slab the person falls in. At the same time, from April 1, returns on crypto will be taxed at the rate of 30 percent, irrespective of the tax slab you fall in.
Cannot be set-off
Significantly, the government has also made it clear that the tax on cryptocurrencies cannot be set off with business expenses. Its TDS can be set off only with crypto tax. If you have a loss in crypto, after April 1, you will not be able to adjust your loss against profits from other assets. This rule will be very harmful to those investors who will sell crypto assets at a loss after April 1.
That much of the income from crypto will be deducted
Let us tell you that the Finance Minister did not use the word cryptocurrency anywhere in his entire budget speech, but he was pointing in this direction with the announcement on virtual currency and digital assets. The Finance Minister announced a 30 percent tax on income earned from virtual currency or digital assets. Understand it in such a way that suppose you invested 1 lakh rupees in cryptocurrency, after this investment you got a profit of 50 thousand rupees, then the government will deduct 30 percent tax on the profit of this 50 thousand rupees in the form of tax, that is, you got from crypto. Out of this earning, Rs 15000 will go to the government's account. The decision to impose a 30 percent tax on crypto income is a bit surprising, but crypto investors in India are considering it 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.
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 any such 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.
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. This means in a way, TDS is levied to keep an eye on the transactions of cryptocurrencies.
While protests are taking place across the country regarding the scheme 'Agneepath' brought by th
The Gyanvapi Masjid Management Committee (GMMC) mentioned its application before the Supreme Cour
The war between Israel and Hamas is continuously increasing. Many people have died in this war so
The central government on Wednesday allowed international trade agreements in Indian currency for
The Russia-Ukraine war, which has been going on for more than 4 months, continues. Russia's inten
CBI raids AAP leader Durgesh Pathak's house, Atishi says- We are not afraid of BJP's threats
The CBI team raided the house of Aam Aadmi Party leader and Gujarat co-in-charge Durgesh Pathak o
Voting will be held today for the election of the 15th President of the country. 4800 elected MPs
Prime Minister Narendra Modi held a bilateral meeting with Paraguay's President Santiago Pena Pal
It has been five months since the Russia-Ukraine war, but on Wednesday the Russian military conti
BJP is on the offensive against the statement of the Leader of the Opposition in Lok Sabha Rahul
