Hey All,
We had the budget for 2023 presented by our Finance Minister Nirmala Sitharaman on 1 February. Overall the markets didn't react to the budget positively and had closed in RED. The full commentary of the Union Budget 2023; India highlights can be found here. Though there was nothing mention about the crypto and taxation around it. But, I came to know about this Crypto TDS and the penalty that will be introduction via the twitter feed of Koinx that I follow quite closely.
Current here in India there is a lack of regulatory framework for crypto and there has been many perceptions around it being formed. With regards to taxation last year the government had introduced - taxation of crypto income at 30% and a TDS of 1% on crypto transactions. Now we see even Stricker rules of penalty being introduced if TDS are not being paid which could further result into imprisonment to Jail up to 6 months. After doing a bit of more research and reading the thread on Koinx twitter feed they answered a common question from community around Crypto TDS. Which is as follows::
Q1. I am trading on Indian exchanges, Should I deduct TDS?
The answer is No. If users are0 trading on Indian exchanges all TDS compliance will be done by Indian exchanges. That is what the Koinx feed stated and the tax payer need not file any TDS forms. I guess we would get more clarity for tax experts in near future and we need not panic as of now. Continue to Build & HOLD your crypto assets; I would say and don't panic sell at hefty losses...Better to HOLD and not trade for the moment.
India Budget 2023 - Crypto TDS penalty Introduced
#india #crypto #tax #tds #cryptotax #budget #regulation
Best Regards
Image Credits:: twitter,