Budget 2022: Crypto Trading Can Be Regulated With Income Tax On Every Crypto Transaction? (Experts Speaks)

The issue of crypto trading in India is still an unsolved mystery.

While there are speculations that the Indian Govt can ban crypto trading, or impose strict rules over its trading, there has been no concrete decision taken yet.

Now, tax experts are suggesting that soon, Govt can introduce a tax on every crypto trade, thereby legalizing it. However, other reports suggest that Govt can ignore crypto in this budget session, and maintain the status quo.

Here are the details..

Tax On Every Crypto Trade? Experts Saying This..

As per Nangia Andersen LLP Tax Leader Aravind Srivatsan, Govt of India can impose new forms of income tax on every crypto trade done by Indians. 

This new provision of income tax can be imposed in the current Budget 2022 session.

Income tax upto 30% is suggested, as per Aravind.

He said, “A bill was expected to be presented during Winter Session of Parliament to regulate cryptocurrencies,”

In case this happens, then crypto can be officially recognized and regulated, and Govt of India can earn income tax as well.

Crypto trading in India is expected to cross $250 million by 2030.

Govt Can Skip Crypto Bill, Crypto Rules In Budget 2022?

At the same time, another report states that Govt can skip any decision on the crypto bill or regulating/banning crypto trading in this current Budget 2022 announcement.

Times of India quoted a senior Finance Ministry official saying, “The crypto bill may not be introduced in the budget session. It is a complex subject. This will require more time,”

It seems that RBI is keen to launch its own digital currency, and they need more suggestions, and legal advice before any such step is taken.

As per previous rumors, Govt of India can totally ban possessing or trading crypto currencies, and even impose a jail term for any citizen who is found indulging in the same.

We will keep you updated, as more details come in.