TDS section 194S

Tax queries 706 views 1 replies

Hi Experts,

TDS U/s 194 S - Transfer of Virtual assets, Can we claim by filing ITR to get the refund

Ex : Mr A buys and sels a Crypto and TDS U/s 194s is 40,000 ( Turnover is 40,00,000 )and the realised profit on this transaction is 1,45,000 only. Theres is no other income. 

Can we get this TDS as Refund as Total Income does not exceed the threshold limit. 

Please advise

Thanks

Ram

 

Replies (1)

Actually due to 30% flat tax rate you will be required to pay more after adjusting TDS.

  • Income from the transfer of virtual digital assets such as crypto and NFTs will be taxed at 30%.
  • No deduction, except the cost of acquisition, will be allowed while reporting income from the transfer of digital assets.
  • Loss from digital assets cannot be set-off against any other income.
  • Income from VDA is taxed at special rates under Chapter XII of the Act. If a person’s total income comprises solely of income from VDA, then the benefit of unexhausted basic exemption limit is also not extended.


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