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Cryptocurrency investors and exchange owners seek tax cuts to revive struggling industry
Shivam Thakral, CEO of BuyUcoin, has similar expectations about the budget. According to him, the Indian crypto industry is somewhere between limitless potential and frustrating limbo. He urges the government to replace uncertainty with clarity, not with a heavy hand but with a beacon. “A well-defined legal framework can unleash confidence and fuel growth. This framework should address the complexities of taxation, laying down clear guidelines for revenues and transactions, not as hurdles but as stepping stones. Exchange licensing protocols should not be shackles but a badge of honour, ensuring responsible participation.”
Sumit Gupta, co-founder of CoinDCX, advocates for a reduction in the TDS rate: “A strategic focus on important measures, such as reducing the TDS rate from 1% to 0.01% and aligning the imposition on the framework applicable to other assets by reducing it by 30%, will undoubtedly reinvigorate the cryptocurrency sector. We urge the government to expand the scope of the TDS mandate to explicitly include offshore platforms. »
Ashish Singhal, Co-Founder and Group CEO of PeepalCo, parent company of CoinSwitch, said: “While the industry has welcomed the definition and inclusion of VDAs in the Income Tax Act, certain provisions, such as the high TDS rate and lack of compensation, have led many Indian VDA users to turn to non-compliant foreign exchanges to carry out their transactions. They put themselves at risk of losing their investment and breaking the law. This also led to a decrease in tax revenue for the Treasury. »