🇮🇳 Crypto Tax in India – Full Breakdown You Need to Know Before You Trade! 📉📈

Whether you're trading BOB, SHIB, BTC or PEPE — if you're in India, 💸 Uncle Income Tax is watching. Here’s everything you need to know in one simple post 👇

💰 1. Flat 30% Tax on Profits

📌 Applies only on profit when you sell crypto

📌 No deductions allowed (not even for gas, internet, or loss recovery)

📌 You calculate & pay this at the time of ITR filing

🔪 2. 1% TDS (Tax Deducted at Source)

📌 Charged on every crypto sale — profit or loss

📌 Must be paid at the time of sale

📌 Binance doesn’t auto-deduct this — you must deposit it manually if using Binance

🧾 3. Only Realized Profit is Taxed

📌 You are not taxed when holding

📌 Tax is triggered only when you sell crypto

📌 Withdrawals ≠ Profit unless the crypto sold had gain

😢 4. What About Losses?

📌 You cannot set off crypto losses against other income

📌 You cannot carry them forward

📌 Losses are just ignored by tax law (Section 115BBH)

🕵️‍♂️ 5. How Will ITR Know About My Crypto?

📌 They don’t — until you tell them

📌 But your bank withdrawals, TDS records, and UPI activity are tracked

📌 Mismatched filings can trigger notices or audits

💡 Pro Tip:

✅ Keep all trade records from Binance

✅ Use tracking tools like CoinTracker or Koinly

✅ File truthfully to avoid penalties 🚨

💬 Found this helpful?

Drop a 🧾 if you’re filing your first crypto tax return this year.

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