A TYPO ERROR MADE CRYPTO TAX 0.1% RATHER THAN 1%: INDIA
A typo error on the Tax Department website accidentally changed the 1% deduction from the source tax source (TDS) to 0.1%, and has been fixed, the Tax Department said on Wednesday.
“Some media reports have been reported by CBCT (Central Board of Direct Taxes) stating that the TDS rate on Virtual Digital Assets (VDA) has been reduced to 0.1%. It is clear from this that there is no change in the level of TDS in VDA, which is still 1%, ”the government office said on Twitter.
1% TDS in cryptocurrency transaction in excess of Rs. 10,000 (approximately US $ 129) will be charged from 1 July in addition to the 30% lower tax on all crypto revenues, which started on April 1.
The trading volumes on the large Indian cryptocurrency trade declined sharply in the years following April 1, according to a study by Crebaco.
1% TDS from July 1 on most items is expected to withdraw money from the market, resulting in a further decline in the level of trade.
A small trade, largely dependent on the volume of purchases, is likely to have serious damage after July 1, prompting some of you to even close stores.