Unfortunately, there haven't been any major developments in crypto tax news in India as of today, February 1st, 2024. However, here's a quick summary of the current situation and some notable discussions:
Current Crypto Tax Scenario in India:
30% tax: Profits from crypto trading are taxed at a flat 30%, effective since April 1, 2022.
1% TDS: A 1% Tax Deducted at Source (TDS) applies to all crypto transactions exceeding âč50,000 or âč10,000 (depending on filing status) since July 1, 2022.
Criticism: This high tax regime and TDS have been criticized for dampening the crypto industry, leading to decreased trading volume and exchange activity.
Recent Discussions and Proposals:
Potential Tax Cut: In November 2023, a technology think tank, Esya Centre, urged the government to reduce the TDS to 0.01% to boost transparency and revenue collection.
Industry Requests: Crypto industry representatives have been advocating for lower taxes and a more progressive tax structure to encourage domestic investment and innovation.
Budget 2024 Expectations: While the Union Budget for 2024 has been presented, it did not provide any specific amendments to the current crypto tax rules. However, discussions and industry lobbying around possible changes might continue.