Indian Parliament Member Asks Government to Tax Crypto Income More Than 30% – Taxes Bitcoin News

Bitcoin.com

An Indian parliament member has urged the government to increase the tax on crypto income from the current proposed rate of 30%, stressing that crypto trading is similar to gambling. He has also requested that the goods and services tax (GST) be imposed on the total transaction value of crypto.

Indian Parliament Member Wants to Tax Crypto Income More Than 30%

India’s Finance Bill 2022 containing the proposed 30% tax on crypto income is now being considered in Rajya Sabha, the upper house of India’s parliament.

How To Get Free Crypto  

Parliament member Sushil Kumar Modi reportedly asked the government Monday to increase the tax on cryptocurrency income from the current rate of 30%. He said:

I would like to request the finance minister that the 30% tax that you have imposed on crypto, please consider in the coming days if this tax can be further increased.

Parliament member Modi argued that cryptocurrency is not a commodity, an asset, goods, or a service, emphasizing that it does not have intrinsic value.

He added that while stocks are backed by companies behind them, “crypto is gambling.” He further questioned, “Who are behind crypto?”

The parliament member further pointed out that the 18% goods and services tax (GST) is only levied on crypto service providers, such as exchanges, emphasizing that this needs to be increased. Modi opined:

Coinbase Banner  

Cryptos are similar to lottery, casinos betting, gambling and horse racing. In all these activities, 28% tax (GST) is imposed on the total transaction value … So I request to you that the GST council needs to consider imposing GST on the total transaction value of crypto.

“Investors are attracted by extraordinary profits,” Modi stressed, adding that “no one knows what is the value of crypto.”

Modi proceeded to give examples of countries that have imposed higher taxes on crypto. He said Japan has imposed a 55% tax while Germany, France, and Australia have imposed up to 45%.

The parliament member further claimed that investors have been storing cryptocurrencies in private wallets before April 1 and “$8 billion worth of crypto assets are expected to go out of the country.”

Besides the 30% tax on crypto income, Indian Finance Minister Nirmala Sitharaman also proposed imposing a 1% tax deducted at source (TDS) on every crypto transaction. The 1% TDS will go into effect on July 1 while the 30% income tax will start levying on April 1. An Indian parliament member has warned that imposing a 1% TDS on every crypto transaction will kill the nascent asset class.

Tags in this story

What do you think about this parliament member calling for the government to tax crypto income more than 30%? Let us know in the comments section below.

FreeBitcoin Banner  
Kevin Helms

A student of Austrian Economics, Kevin found Bitcoin in 2011 and has been an evangelist ever since. His interests lie in Bitcoin security, open-source systems, network effects and the intersection between economics and cryptography.

Image Credits: Shutterstock, Pixabay, Wiki Commons

Read disclaimer

Go to Source
Author: Kevin Helms


Recommended Crypto Services, Products and Strategies:

The first thing any crypto investor needs is is a reliable and secure Crypto Wallet.  Whether you’re looking for an online wallet, hardware wallet, desktop or mobile wallet, Crypto Renegade provides you with all the Best Crypto Wallets in each category.

Best Crypto Wallets Banner

When you’re ready to buy more crypto, or exchange your coins for others, Crypto Renegade’s list of the Best Crypto Exchanges has you covered.  The Crypto Exchanges recommended here offer everything from simplicity and convenience to advanced trading platforms and profit sharing. 

Best Crypto Exchanges Banner

If you want to learn more about the methods and tools that can be used to find Great Crypto Projects, then be sure to check out Crypto Renegade’s strategy for How To Find The Best Cryptocurrency.

Crypto Strategy Banner

For those people that don’t have any money to invest right now, or just want to understand the technology a bit more, you’ll definitely want to check out Crypto Renegade’s Free Crypto Strategy and start collecting Free Coins today!

Free Crypto Banner

What do you think about cryptocurrency? Do you have any questions about it? Be sure to leave a comment below.

This site uses Akismet to reduce spam. Learn how your comment data is processed.