Indian Government Working on How GST Tax Could Be Applied to Crypto
Indian finance ministry Nirmala sitaraman is reportedly working on Crypto Tax that could apply to crypto transactions.
According to Nirmala Sitaraman:
We are still discussing the applicability of GST in the case of crypto assets. Right now, it is levied on services, so we need to see if crypto assets are declared as a good or service.
The Indian government may apply 18% to 28% GST on crypto assets and transactions.
As per the view of another source:
A better understanding of how cryptocurrencies fit into our legal system is the prerequisite for the decision on the GST rate.
The GST will be applicable only on the margin or service fee and not on the entire value of the asset the publication conveyed, adding that the Indian government also examines the treatment of certain transaction like mining or airdropped crypto tokens.
Furthermore, the Indian government has not disclosed officially any decision regarding crypto tax in this meeting.
Related: India to Finalize Stance on Legality of Cryptocurrency by Q1 2023