India intends to increase the tax burden on the cryptocurrency sector, CNBC-TV18 has reported citing a source.
According to the source:
"The proposal is to levy 28 percent GST on services and all activities related to cryptocurrencies soon."
According to it, the Goods and Services Tax Council's legal committee is currently studying the issue. Once approved, the initiative will be submitted for consideration and approval.
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It should be noted that the GST is an indirect tax paid on all goods and services in the country. Under the current system, the sale of cryptos from foreign exchanges to people in India is subject to a 18% tax.
In India, a 28% tax is levied on the online gambling sector. According to the source, the aim of the measure is to align the specific taxes on cryptocurrencies with the taxes applied to gambling, lotteries and horse racing.
The country's authorities have previously introduced a 30% tax on earnings from crypto-related transactions.
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