Today in this Guide we are talking about Crypto Tax Calculators in India. Recently in Budget 2023 Govt did not provide any kind of relief on the 30% Crypto Tax and 1% TDS. even introduced a New section where anyone can face jail up to 7 years on failure the TDS on Cryptocurrency.

Taxes on the Cryptocurrency in India ?

In the Budget 2022 Govt Introduce the new Section 115BBH of Income Tax Act via Finance Act 2022 where they impose following Tax Rates and Rules on the CryptoCurrency or Transfer of Virtual Digital Assets  –

  1. Flat 30% Tax – 30% Tax and applicable surcharge with cess imposed from the Profit on the Cryptocurrency or Digital Token or NFT etc from 1st April 2022.
  2. No Deduction – Normally for the tax purpose govt allowed deductions like expenses on the assets etc but in the crypto case they allowed only the cost of the acquisition so it’s means you can’t take any deduction related to crypto exchange expenses or trading cost etc.
  3. No Set off Allowed – Govt not allowed any kind of the Set off of Losses from any other Cryptocurrency. For Ex if you hold the BTC and ETH and you earn the Profits Only on BTC but Losses on ETH then for the Tax Calculation you can’t set off ETH Losses against BTC Profits. Even you can’t carry forward the losses just like Stocks or Mutual Funds Losses.
  4. 1% TDS Deduction by Exchange – Govt Imposed the 1% TDS on any Consideration paid for the transfer of virtual digital assets. Now all Crypto Exchange once they release the payout on the transfer of cryptocurrency, they need to deduct 1% TDS against user PAN Number and have to deposit with the Govt.

Major Changes in Budget 2023 on CryptoCurrency Taxes –

In the Budget 2023 Govt Introduce a New Section 194S(1) where if anyone violator of the Rule of 1% TDS then they need to face Jail up to 7 years. As per the Bill its mentioned that

If a person fails to pay to the credit of the Central Government,—
(a)  the tax deducted at source by him as required by or under the provisions of Chapter XVII-B; or

(b)  the tax payable by him, as required by or under—

 (i)  sub-section (2) of section 115-O; or
 (ii)  the proviso to section 194B,

he shall be punishable with rigorous imprisonment for a term which shall not be less than three months but which may extend to seven years and with fine.”

Crypto Tax Calculation in India with Binocs – 

Now for paying the 30% taxes and 1% TDS you need to properly calculate the Crypto Profit or Loss with Buying Value & Selling with other Income. Its a Very Complicated task and Exchange are not providing any kind of readymade Tax Reports.

But Don’t worry For the Indian User you can use Binocs which is a simplified No KYC Crypto Tax Tool in India. You need to just take following Steps to Calculate Taxes on your Crypto –

Step 1 – Go to their Website and Signup with your Email id. No KYC Needed.
Step 2 – Simply Connect your all Crypto Exchange on the Binocs. Binocs Support more than 100+ Exchange Wallet and Chains via API or CSV Files.
Step 3 – Just be Relax. You can Track Portfolio + Taxes in Easily Manner on the Dashboard.

We Create a Detailed Step by Step Live Video Which is Mentioned Below so Just Checkout and Signup on Binocs.

USP of Binocs Crypto Tax Tool –

  • No KYC Tool
  • Unlimited Account Integration even Support Indian Exchange like WazirX CoinDCX CoinSwitch etc.
  • Portfolio Tracking Feature for Unlimited Transactions
  • Capital Gain or Loss with Income Summary
  • Reconcile Transaction
  • Tax Loss Harvesting Tool where you can save your Taxes.
  • Download a Tax Report which you can Verify from the CA Team at Binocs.
  • Free Plan with Premium Affordable Pricing

Crypto Tax Filing in India –

Recently Govt introduced the AY 2023-24 ITR Forms where they Introduce VDA Schedule Especially in ITR-2 & ITR -3 Form. So Now you need to enter all Details in the VDA Schedule under Capital Gain & have to pay the 30% taxes on the same. Apart from this you need to enter Quarterly Wise Capital Gain Details under the VDA Schedule.

If you need help on the Crypto Tax Filings then you can take the help from MyOnlineCA Tax Experts. So Hope you like this Guide. If you have any query just Contact us Here or email author at dev@myonlineca.org