Tax imposed on crypto

Exchange won’t verify your account to trade if you dont have pan card. In order to withdraw your profits to your bank acc you have to verify your account in exchange.

In gemini you dont need pan card to withdraw crypto

From Gemini you withdraw directly to bank?
You need to pay tax only for the amount which you transfer to your bank. If you are holding it in exchange it won’t cost you anything.

Tax only applies when you actually covert your crypto in to currency. So you have to file ITR at by next financial year for the amount which has been credited into your bank. You have to keep note of every profit and loss you make so that while filing ITR you have to mention all of it there.

If i sell by bat which i got from brave and buy any other coin and hold it on gemini do i have to pay tax?

And if i tranfer my bat got from brave to indian exchange and sell it there do i have to pay tax?

No you dont have to pay tax for that

No. You only need to pay tax when the actual money gets into your Bank account

Okay thank you for your help.
And i dont have to worry about selling my bat which i earned through brave on gemini and buying any other crypto and if i gain on that crypto i can tranfer it to any other exchange without tax right?
In short if i buy or sell on gemini i dont have to pay tax only if i withdraw to bank i have to pay tax ?

1 Like

Happy to help ^^
Yes you are right, tax only applies when you withdraw to bank other than that you can buy and sell and transfer without worrying about tax. I’d recommend you to stake your crypto and earn passive income through it. That way you won’t be paying taxes.

Okay thank you for your help

So when i recieve this months payout i can sell it on gemini and then buy another coin with that money which i gained from selling bat and hold that coin without worrying about tax,right?

Can i directly transfer my earned bat to indian exchange account or when i buy any other coin using that bat ?

if you convert to FIAT, will it be incurring 30% still?

thats what i am askin if i convert my brave earned bat to currency and then buy any other coin from that money and hold it on gemini?

See the thing is any transaction you make on international exchanges like Gemini and uphold can’t really be traced by the Indian government as of now. Because international exchanges don’t have our pan no or anything like that. But legally yes you to pay 30% tax on 'Earnings from crypto" .
Eg: If Brave sends you 1 BAT as your earnings, and you sell that Bat at 100 INR, now legally you are liable to pay 30 INR to the Indian government, since this is your earning ,so your ‘Cost of acquisition’ here is 0. That means you have to pay 30% tax on your entire earnings.
But again , for now it is not possible for Indian government to regulate International exchanges, so for now you are kind of safe from taxes.

And that 1% TDS thing will be applicable on every crypto transaction ,(transfer of digital asset to be more precise) , but that would be deducted by the ‘Indian’ exchanges like COIN DCX, WAZIRX , COINSWITCH KUBER , etc from July, 2022. You will be able to see the Tds Records on your FORM 26 AS and you will be able to claim or adjust your TDS at the time of filing ITR at the end of financial year


So i dont have to pay tax if i sell my bat earned from brave on gemini right ?

For now , No you don’t need to pay taxes on Gemini. But in future if Indian Government bans Gemini or something then you never know

Okay so for now i can trade freely without worryong for tax right?

And if i want to tranfer my bat to indian exchange can i do that?