How should cryptocurrency be taxed in India? Here are some thoughts

Warren Buffet, the greatest investor of all times, once junked bitcoins and in fact called them ‘rat poison squared’. Not many investors heed to this advice though; cryptocurrencies have generated a lot of interest for investors of all ages due to recent increase in value. It is estimated that roughly a crore Indians have invested in cryptocurrencies, reports suggest.

Are gains from cryptocurrencies taxable?

Tax authorities around the world have been working to carve out rules of taxation for cryptocurrencies. Even though cryptocurrencies are not mentioned in the Indian income tax act and there are no rules defined yet, you must report them in your income tax return and pay tax on them.