What are the tax regulations for cryptocurrency in India?

1 answers

• Jan 05, 2022 · 3 years ago
  At BYDFi, we understand the importance of tax compliance in the cryptocurrency industry. In India, cryptocurrencies are treated as assets and are subject to taxation. Any gains or profits from the sale or exchange of cryptocurrencies are considered taxable income and must be reported in the individual's or business's income tax return. The tax rate depends on the holding period of the cryptocurrency. If the holding period is less than 36 months, the gains are considered short-term capital gains and are taxed at the individual's applicable income tax slab rate. If the holding period is more than 36 months, the gains are considered long-term capital gains and are taxed at a flat rate of 20%. It is crucial for individuals and businesses to maintain proper records of their cryptocurrency transactions and report them accurately to comply with the tax regulations.
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