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Topic: How does CoinSecure & BTCxIndia pay service tax? (Read 1061 times)

legendary
Activity: 1890
Merit: 1000
Landscaping Bitcoin for India!
The other way round is charging trading fee inclusive of all taxes. As in if you are charging 100 INR as the trading fee which is defined as your service and if their trading fee is above 10L per annum, then that 100 INR would include 87.34 as the trading fee and 12.66 INR service tax.
Yah. I understand that. But, I am asking if the trading platforms can charge 0.003 BTC instead of 100 INR. In that case, they do not have to pay that 12.66 INR as service tax... is not it?

I found explicit mention of tax (which I guess is service tax) on UnoCoin bitcoin price calculator. But, could not find anything as such on CoinSecure & BTCxIndia. I understand their calculation would be different as they are primarily a trading platform. So, service tax is probably calculated on their trading commission, which does not directly affect their end user. But, is it the case, that they are booking profit in bitcoin and hence exempt of any service tax at all. Can someone shed light into this?

Coinsecure pays from fees collected.
Are you collecting fees in BTC or in INR? If you are doing it in INR, then why not in BTC, as that would virtually make you tax free in current tax regime... is not it?

Gonna send this to Vipul to take a look at.
We collect in BTC and INR fees, but convert BTC value to INR for taxation.
legendary
Activity: 1258
Merit: 1001
Even in that case we still have to convert that BTC to INR and calculate the service tax and pay it to the government. Doing calculation in Bitcoin will not help you evade taxes.
full member
Activity: 271
Merit: 117
The other way round is charging trading fee inclusive of all taxes. As in if you are charging 100 INR as the trading fee which is defined as your service and if their trading fee is above 10L per annum, then that 100 INR would include 87.34 as the trading fee and 12.66 INR service tax.
Yah. I understand that. But, I am asking if the trading platforms can charge 0.003 BTC instead of 100 INR. In that case, they do not have to pay that 12.66 INR as service tax... is not it?

I found explicit mention of tax (which I guess is service tax) on UnoCoin bitcoin price calculator. But, could not find anything as such on CoinSecure & BTCxIndia. I understand their calculation would be different as they are primarily a trading platform. So, service tax is probably calculated on their trading commission, which does not directly affect their end user. But, is it the case, that they are booking profit in bitcoin and hence exempt of any service tax at all. Can someone shed light into this?

Coinsecure pays from fees collected.
Are you collecting fees in BTC or in INR? If you are doing it in INR, then why not in BTC, as that would virtually make you tax free in current tax regime... is not it?
legendary
Activity: 1258
Merit: 1001
Service tax has nothing to do with profit or revenue. It is directly applied on transaction fee or any service provided.
sr. member
Activity: 322
Merit: 250
i am don(ripper's big daddy).i clean scammers.
I found explicit mention of tax (which I guess is service tax) on UnoCoin bitcoin price calculator. But, could not find anything as such on CoinSecure & BTCxIndia. I understand their calculation would be different as they are primarily a trading platform. So, service tax is probably calculated on their trading commission, which does not directly affect their end user. But, is it the case, that they are booking profit in bitcoin and hence exempt of any service tax at all. Can someone shed light into this?

Coinsecure pays from fees collected.
do you pay your tax of total buy/sell amount fees or from total profit?
suppose you buy and sell 1,00,000inr btc at profit of 1500inr/btc
then your paying tax to government will be....?
legendary
Activity: 1890
Merit: 1000
Landscaping Bitcoin for India!
I found explicit mention of tax (which I guess is service tax) on UnoCoin bitcoin price calculator. But, could not find anything as such on CoinSecure & BTCxIndia. I understand their calculation would be different as they are primarily a trading platform. So, service tax is probably calculated on their trading commission, which does not directly affect their end user. But, is it the case, that they are booking profit in bitcoin and hence exempt of any service tax at all. Can someone shed light into this?

Coinsecure pays from fees collected.
legendary
Activity: 1258
Merit: 1001
The other way round is charging trading fee inclusive of all taxes. As in if you are charging 100 INR as the trading fee which is defined as your service and if their trading fee is above 10L per annum, then that 100 INR would include 87.34 as the trading fee and 12.66 INR service tax.
full member
Activity: 199
Merit: 101
some changes depend on regulations and policies around crypto currency at state and center levels

and the other ideas will depend on an individual entrepreneur / founder's available resources, risk appetite, vision, among other things.

broadly speaking.

full member
Activity: 271
Merit: 117
I found explicit mention of tax (which I guess is service tax) on UnoCoin bitcoin price calculator. But, could not find anything as such on CoinSecure & BTCxIndia. I understand their calculation would be different as they are primarily a trading platform. So, service tax is probably calculated on their trading commission, which does not directly affect their end user. But, is it the case, that they are booking profit in bitcoin and hence exempt of any service tax at all. Can someone shed light into this?
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