Tax treatment of profit from CryptoCurrency in India

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Is there any clarity, how the profit earned from CryptoCurrencies be taxed in India?

How we should treat such profit in our Income Tax Return for AY 2018-19?
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Dinesh Sharma, Special Secretary in the Economic Affairs Department and Chairman of the nine-member inter-disciplinary committee, says, "According to the law if somebody makes some money that should be subject to income tax." Realizing the growing popularity of crypto currencies the government formed a committee this year in April to give recommendations for regulating the crypto currency market. The report is yet to come out. Sharma says, "No final decision has been taken but it is under active consideration."

Having said that, mining, buying and selling virtual currencies is not illegal in India, but it is also not recognised by law either. There is a question mark on the taxability aspect too. So if you have been trading or investing do make sure any gains from the sale of Bitcoins is included in your income tax return.

Refer: taxation-bitcoin-india

 

You may find this article useful. https://cleartax.in/s/bitcoins-taxes-india

If you are interested in doing something with cryptocurrency in India, you may find ECOINOMI useful. 

ECOINOMI is a cryptocurrency platform with a goal to bring cryptocurrencies into the common people in India. It plans to achieve it by offering several applications for cryptocurrencies which will make cryptocurrency readily usable in the daily life of people. 

You can find more information about it on their website: https://ecoinomi.io

Cypto Currenies will be treated as Fixed assets and not as currency or transaction in money

and all rules of taxation of fixed assets will apply


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