The newly elected Indian government under Prime Minister Narendra Modi will present the Union Budget on July 23. India’s crypto industry hopes for tax relief and clearer guidelines in this budget.
In 2022, the government imposed a 30% tax on crypto gains and a 1% TDS on crypto transfers. These measures have significantly impacted the industry, leading to a decline in business over the past two years.
Crypto firms are asking for reduced taxes, the ability to offset losses against gains, and a reduction in TDS from 1% to 0.01%. Such changes could align crypto taxation with other asset classes and reduce administrative burdens.
India is also looking to learn from the US regulatory missteps to create a balanced environment for digital assets. This approach aims to foster innovation while ensuring investor protection.
The upcoming budget could shape India’s crypto landscape, impacting its global competitiveness and innovation in blockchain technology.
