Do you want to know how much tax you have to pay on your crypto transactions in India? Don’t worry; Using our “Crypto Tax Calculator,” you can calculate tax on cryptocurrencies like Bitcoin (BTC), Ethereum (ETH), BNB, XRP, Cardano (ADA), etc.
Crypto Tax Rate in India
|Profit on Crypto (FY 2022-23)||Tax Rate|
Crypto Tax Calculation Formula in India
Crytpo Tax = 30% of Crypto Profit
= (30/100) × (CryptoCurrency Sale Price – CryptoCurrency Buy Price)
The Union Budget 2022-23 has proposed a 30% tax on cryptocurrency assets. From April 1, 2022, cryptocurrency profits have been taxed at 30%. This tax rate applies to all virtual digital purchases (VDAs).
Suppose an investor buys a cryptocurrency for Rs. 10,000 and sells it for Rs. 11,000 generating an Rs. 1000 profit. In this case, they must pay a 30 percent tax of Rs. 1,000 i.e Rs. 300.
In addition to 30% of the tax, the 1 percent TDS is set to go into effect on July 1, 2022. The TDS will be taken from the total crypto transaction value.
Note: Crypto Losses cannot be set off against any other income of the taxpayer. So all loss transactions will be ignored for tax calculation, and only profit will be calculated.