Topic: India's confusing crypto bill - page 2. (Read 407 times)
India's stance on cryptos has always been confusing to me. They have been swinging between banning, legalizing and taxing cryptocurrencies for years now. Trying to follow their plans has been frustrating, to say the least.
I think this is how the government is probing this market. It is far from certain that everything will remain as it is now. It is possible that the conditions will be partially relaxed in favor of cryptocurrency miners and a more “gentle” tax regime may be introduced. Obviously, we have already observed this more than once - when conditions for holders and earners become unbearable or at least unacceptable - they simply migrate along with all their "economy" to more favorable places. This is what is today.
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If I can recall correctly, India even had a proposal long time ago about banning the usage of it and I am not sure what happened truly after that since I don't live in that country. Sure they can tax it now, though I am curious how would they do that to those people that are doing p2p transactions though.
Accepting crypto is not fully or the regulations used are only limited to commodity trading and should not be used as legal tender. However, the tax rate is indeed unreasonable, too high. 30% is a crazy tax. Just imagine the profits that crypto gets are not much, but the taxes that are required will make anyone against it. The Indian government wants to make big profits from taxes on crypto users. it looks very greedy.
That's the nature of most bills or laws, they're confusing that you have to read the fine print so as to find a way to get away with it or to eben understand it. I wouldn't worry about this bill though, pretty sure that the people and the lawmakers will eventually forget about it and pretty sure that India will change it's stance when it comes to this kind of thing.
The news that I used to get on where India actually stands in crypto currency has always been confusing to me. Sometimes you will see news that it is legal in India, and within the next few days you will see another news saying that it is no longer legal.
Okay I remember a time when it was said that Bitcoin was finally declared a legal asset in India, and then within a few days I was also seeing the news again that it has been cancelled and is no longer legal. And then all of a sudden after seeing that they now charge tax for cryptocurrency investment which is up to 30%, now I’m seeing another news that they are saying it is not legal, what is really wrong with this government? Where do they stand actually?
There is no way that they can be collecting tax when something is not legal in their country. So, they are just really confused. Unless maybe the media are the ones who are not getting it, maybe fake news?
Okay I remember a time when it was said that Bitcoin was finally declared a legal asset in India, and then within a few days I was also seeing the news again that it has been cancelled and is no longer legal. And then all of a sudden after seeing that they now charge tax for cryptocurrency investment which is up to 30%, now I’m seeing another news that they are saying it is not legal, what is really wrong with this government? Where do they stand actually?
There is no way that they can be collecting tax when something is not legal in their country. So, they are just really confused. Unless maybe the media are the ones who are not getting it, maybe fake news?
Recently India has passed a crypto bill to tax crypto income by 30% but at the same time claiming that taxing cryptos doesn't make them legal and states it's country's sovereign right to tax crypto and this atrocity doesn't stop here as they have mentioned that the decision about banning crypto or legalizing it will taken after further consultation.
Can they tax something which is not legal? How can a country tax something which is not legal? Moreover they still have plans of banning crypto since they are not clear about their stands on legalization. Not sure if it's an attempt to unofficially break the crypto market in India or what's going on.
Share your thoughts on this.
Source: https://www.businessinsider.in/cryptocurrency/news/taxing-cryptocurrencies-does-not-give-them-legal-status-clarifies-indias-finance-minister/articleshow/89500097.cms
Yes, they have always been taxing what is not legal. Gambling they tax heavily and gambling is not legal within the territory of India but yet from the very start gambling income is taxed heavily in the country. Even though I don't agree with this sort of draconian law on crypto but still 30% tax is still bearable. What is not at all bearable is the hefty 1% TDS that will be levied on sale proceeds every time you will make a sale. This doesn't make any sense and is irrational and is a deliberate technique to stop crypto trading in India. What I see from here is that they might in the coming months ban the foreign exchanges altogether and then eventually ban cryptos. They think this way they might get rid of it in phased manner.Can they tax something which is not legal? How can a country tax something which is not legal? Moreover they still have plans of banning crypto since they are not clear about their stands on legalization. Not sure if it's an attempt to unofficially break the crypto market in India or what's going on.
Share your thoughts on this.
Source: https://www.businessinsider.in/cryptocurrency/news/taxing-cryptocurrencies-does-not-give-them-legal-status-clarifies-indias-finance-minister/articleshow/89500097.cms
India has a full of drama , for my years here in crypto ? there are tons of crypto related issues that had been tackled and many are from India, legalization and Banning and now here we are confusing bill?
no wonder what would be coming in the next?
what kind of news are we looking for this?
I don't see they are serious in adopting bitcoin. If that was the case, they would have lowered the taxes to encourage people to use crypto. Instead, they hinted that they won't let anyone earn crypto as they will be taxed very high.
This statement was a big disappointment to the people of India who wanted to integrate bitcoin and also earn bitcoin by different means like mining etc.
They will never at least not this year or in the next 5 years because all they have for crypto is problem and issues .
no wonder what would be coming in the next?
what kind of news are we looking for this?
What are we expecting in Indian Government ? they are acting like this for how many years?
having issue of banning and regulating and then allowing ? this is not new from this country so better to get use to it until they finally act a truthful and real law or bills in which people will understand and accept.
having issue of banning and regulating and then allowing ? this is not new from this country so better to get use to it until they finally act a truthful and real law or bills in which people will understand and accept.
I don't see they are serious in adopting bitcoin. If that was the case, they would have lowered the taxes to encourage people to use crypto. Instead, they hinted that they won't let anyone earn crypto as they will be taxed very high.
This statement was a big disappointment to the people of India who wanted to integrate bitcoin and also earn bitcoin by different means like mining etc.
What are we expecting in Indian Government ? they are acting like this for how many years?
having issue of banning and regulating and then allowing ? this is not new from this country so better to get use to it until they finally act a truthful and real law or bills in which people will understand and accept.
having issue of banning and regulating and then allowing ? this is not new from this country so better to get use to it until they finally act a truthful and real law or bills in which people will understand and accept.
I don't see they are serious in adopting bitcoin. If that was the case, they would have lowered the taxes to encourage people to use crypto. Instead, they hinted that they won't let anyone earn crypto as they will be taxed very high.
This statement was a big disappointment to the people of India who wanted to integrate bitcoin and also earn bitcoin by different means like mining etc.
They aren't serious about it, knowing the past issues and corruption in the Indian Government, their officials have been taxing cryptocurrency for a while and the fact that they haven't even legalized it is disrespectful, we can't expect much from them. And I do feel bad as well for the people in India who've been looking forward for Bitcoin and crypto to be legalized with low tax fees, instead, the government took advantage and it really is sad.
What are we expecting in Indian Government ? they are acting like this for how many years?
having issue of banning and regulating and then allowing ? this is not new from this country so better to get use to it until they finally act a truthful and real law or bills in which people will understand and accept.
I don't see they are serious in adopting bitcoin. If that was the case, they would have lowered the taxes to encourage people to use crypto. Instead, they hinted that they won't let anyone earn crypto as they will be taxed very high.having issue of banning and regulating and then allowing ? this is not new from this country so better to get use to it until they finally act a truthful and real law or bills in which people will understand and accept.
This statement was a big disappointment to the people of India who wanted to integrate bitcoin and also earn bitcoin by different means like mining etc.
It is of no use at all as they wouldn’t be able to tax something that is not legal in their country. So, how do they plan on taxing Bitcoin if they have stopped their citizens from making use of it? it’s not going to work.
What are we expecting in Indian Government ? they are acting like this for how many years?
having issue of banning and regulating and then allowing ? this is not new from this country so better to get use to it until they finally act a truthful and real law or bills in which people will understand and accept.
having issue of banning and regulating and then allowing ? this is not new from this country so better to get use to it until they finally act a truthful and real law or bills in which people will understand and accept.
I don't see they are serious in adopting bitcoin. If that was the case, they would have lowered the taxes to encourage people to use crypto. Instead, they hinted that they won't let anyone earn crypto as they will be taxed very high.
This statement was a big disappointment to the people of India who wanted to integrate bitcoin and also earn bitcoin by different means like mining etc.
Recently India has passed a crypto bill to tax crypto income by 30% but at the same time claiming that taxing cryptos doesn't make them legal and states it's country's sovereign right to tax crypto and this atrocity doesn't stop here as they have mentioned that the decision about banning crypto or legalizing it will taken after further consultation.
Can they tax something which is not legal? How can a country tax something which is not legal? Moreover they still have plans of banning crypto since they are not clear about their stands on legalization. Not sure if it's an attempt to unofficially break the crypto market in India or what's going on.
Plan on banning what ? they already said that crypto is not legalized on their country, that is indeed confusing or maybe what they mean by not legalizing is like not adopting btc like what El Salvador did where they adopt btc as a legal tender or as a form of currency. Can they tax something which is not legal? How can a country tax something which is not legal? Moreover they still have plans of banning crypto since they are not clear about their stands on legalization. Not sure if it's an attempt to unofficially break the crypto market in India or what's going on.
What India did there is same to what most countries are doing where they also accept crypto but not totally. taxing on cryptos do also happens on other countries but I think their tax rates are not high as on India. 30 percent on tax is not a joke, what did their government eat when they are planning this ? or are they simply greedy and wants more from the crypto users .
So if not legal yet, using cryptocurrency will consider a crime? It's like some countries have been taxing alcohol drinks but it's illegal I'm their country. India making drama form while. They just make things more complicated and encourage people to use cryptocurrency in the black market. Officially announced about Tax, but not yet finalized whether it's legal or illegal. It's just a ridiculous statement to me, not only confusing.
Yes i believe that they are trying to supress crypto users into giving up crypto but at the same time taxing them as well, I think either they are rushing up things or having some other plans as the Indian based centralized exchanges will be the worst one to be affected and users will stop using them and move on to decentralised exchanges and also some traders who already hold huge amount will just shift their base or start using proxy from a crypto friendly nations for cashing out and other activities.
IMO there could be two possibilities after researching a lot about India.
1. Particular businesmen associated with government would like to dominate the crypto market and they are too late wherein other exchanges like Wazirx, Coinswitch and Coindcx are well established and this draconian rule is to make them go bankrupt and then the businessmen associated with government of India who will find them in elections will be starting their own crypto exchanges with relaxed rules from government.
2. Indian government don't understand crypto and making a huge mistake and run by fools.
What are we expecting in Indian Government ? they are acting like this for how many years?
having issue of banning and regulating and then allowing ? this is not new from this country so better to get use to it until they finally act a truthful and real law or bills in which people will understand and accept.
having issue of banning and regulating and then allowing ? this is not new from this country so better to get use to it until they finally act a truthful and real law or bills in which people will understand and accept.
even in majority of countries.. where alcohol is allowed.. the truth is this
alcohol consumption is illegal and prohibited... then regulated where
only licenced businesses can sell alcohol publicly
only permitted to be consumed by adults
only licenced brewers can brew it for public consumption
only permitted to be brewed for personal consumption by adults
so alcohol is NOT 'free use' or 'open use' or 'legal for all use cases'
same is/will be true for crypto.
prohibited and then regulated for only certain use cases
alcohol consumption is illegal and prohibited... then regulated where
only licenced businesses can sell alcohol publicly
only permitted to be consumed by adults
only licenced brewers can brew it for public consumption
only permitted to be brewed for personal consumption by adults
so alcohol is NOT 'free use' or 'open use' or 'legal for all use cases'
same is/will be true for crypto.
prohibited and then regulated for only certain use cases
So if not legal yet, using cryptocurrency will consider a crime? It's like some countries have been taxing alcohol drinks but it's illegal I'm their country. India making drama form while. They just make things more complicated and encourage people to use cryptocurrency in the black market. Officially announced about Tax, but not yet finalized whether it's legal or illegal. It's just a ridiculous statement to me, not only confusing.
That just shows how some Governments can become a nuisance to themself. How do you even tax something that you consider illegal in your country
If it is illegal that means it shouldn't be traded or used and yet you collect from the same illegal source. I think they want to weigh the option, of taking 30% tax against banning which will be better for the Government so I believe we have to wait until the Bill is actually passed. 
Recently India has passed a crypto bill to tax crypto income by 30% but at the same time claiming that taxing cryptos doesn't make them legal and states it's country's sovereign right to tax crypto and this atrocity doesn't stop here as they have mentioned that the decision about banning crypto or legalizing it will taken after further consultation.
Let me clear that for you! The Finance Minister said that taxing crypto doesn't mean that it will become legal. She meant, taxing crypto will not make it a legal tender, i.e, cryptos can't be used against products and services. Otherwise, how can several crypto exchanges are working in the country? Most of them are above 1 billion USD valuation.
The government was clear enough from the very beginning, that crypto will never become a legal tender. We are worried because the government could have banned crypto altogether. But instead they have just taxed it. So it's a positive step forward. Now this tax is just a proposal in the budget. Now the proposal will go to parliament, drafted as a law, passed by the speaker and signed by the president. A long way to go!
Taxes pay their government salaries and they are getting pressure from financial institutions that are saying that they have to pay taxes on other financial tools, but people with Crypto currencies are not taxed.
So what do you do if you see an excuse to tax something.... well, you say it is still illegal ...because you are still working on the legislation.. but you go ahead and tax it, so that your salaries can still get a boost.
(pure hypocrisy shown by a corrupt government)
So what do you do if you see an excuse to tax something.... well, you say it is still illegal ...because you are still working on the legislation.. but you go ahead and tax it, so that your salaries can still get a boost.
(pure hypocrisy shown by a corrupt government) 
It feels like they will gonna update this regulation after they finalized and announce it to the public. looks like it's a big blow for the local exchanges and the common folks who are only started to use bitcoin or accept it as payment to their stores and services. Since the government saw the potential huge money they can get from it, they won't hesitate to pass this regulation. Looks like India is also still crypto's enemy this year.
Recently India has passed a crypto bill to tax crypto income by 30% but at the same time claiming that taxing cryptos doesn't make them legal and states it's country's sovereign right to tax crypto and this atrocity doesn't stop here as they have mentioned that the decision about banning crypto or legalizing it will taken after further consultation.
Can they tax something which is not legal? How can a country tax something which is not legal? Moreover they still have plans of banning crypto since they are not clear about their stands on legalization. Not sure if it's an attempt to unofficially break the crypto market in India or what's going on.
Share your thoughts on this.
Source: https://www.businessinsider.in/cryptocurrency/news/taxing-cryptocurrencies-does-not-give-them-legal-status-clarifies-indias-finance-minister/articleshow/89500097.cms
Can they tax something which is not legal? How can a country tax something which is not legal? Moreover they still have plans of banning crypto since they are not clear about their stands on legalization. Not sure if it's an attempt to unofficially break the crypto market in India or what's going on.
Share your thoughts on this.
Source: https://www.businessinsider.in/cryptocurrency/news/taxing-cryptocurrencies-does-not-give-them-legal-status-clarifies-indias-finance-minister/articleshow/89500097.cms
As i understand this, india will impose 30% taxes on crypto, once they legalize it. How can they offically take tax from soemthing which is not yet legal in thier country.
However i do not believe this is the fianl verdict of the government, there may be many twists and change in statements. Consider the example of russia as they also given such statemnets of legalization of bitcoin and then not to legalize it.
Governments look really confused when it comes on the legal status of bitcoin.
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