🇮🇳 Crypto Tax in India Explained (With Examples)

📌 In India, income from trading or selling crypto (like BTC, ETH, USDT) is taxed at a flat 30% under Section 115BBH of the Income Tax Act.

⚠️ No deductions are allowed except cost of acquisition. Losses cannot be offset against other income.

🔹 Example 1: You make a profit

You buy Bitcoin for ₹1,00,000

You sell it for ₹1,50,000

Profit = ₹50,000

Tax = 30% of 50,000 = ₹15,000

✅ You will pay ₹15,000 as income tax.

🔹 Example 2: You make a loss

You buy Ethereum for ₹2,00,000

You sell it for ₹1,50,000

Loss = ₹50,000

❌ You cannot set off this loss against other gains or carry it forward.

📉 The loss just stays with you.

🔹 Example 3: You receive crypto as a gift or reward

If you win a crypto giveaway worth ₹10,000

You’ll be taxed 30% = ₹3,000 even if you don’t sell it.

🪙 Also note:

1% TDS is deducted on every crypto transaction (Section 194S)

Even peer-to-peer or gift card trades may attract tax if tracked

💡Stay compliant. File returns on time.

Don’t ignore crypto profits—📊 Income Tax Dept is watching blockchain transactions too.

#CryptoTax #IndiaCrypto #BinanceSquare #CryptoRegulation #Web3India #TaxTips #BinanceIndia

If you have any queries or suggestions please say it down here 👇