In Brief:
- The conclusions are based on a study conducted by the TOI-Deloitte, which included 1800 respondents.
- 74% of the respondents want it to be considered as a securities trading/investment for capital gains tax purposes.
- 39% of them claimed to have a good understanding of the asset class and more than 45% indicated they would like to learn more about cryptos in order to invest in them.
According to the findings of a study conducted by the Times of India and professional services firm Deloitte, 55.2% of respondents stated they would continue to invest in crypto. Over 10% of respondents stated they will refrain from investing in the future, while 26.8% said they haven’t invested in cryptocurrencies but will be interested in doing so if the government completes its laws.
Currently, there is no central authority in India that has authorised or regulated cryptocurrencies and hence such investments come with their own risks and loopholes.
According to reports, the Union administration plans to present a cryptocurrency bill in the upcoming session of Parliament because there are now no rules, regulations, or recommendations addressing the tax handling of cryptocurrencies.
Meanwhile, crypto investors are hoping that the forthcoming budget on February 1 would include a proper tax policy framework for crypto.
At the same time, the imposition of a tax on cryptocurrencies such as bitcoin and Ethereum cannot be ruled out because India’s income tax laws have traditionally tried to tax income received regardless of its form.
According to the study, more than half of the respondents had invested in cryptocurrencies, while 74% want it to be considered as a securities trading/investment for capital gains tax purposes, and 10% will completely disregard it as an investment option.
The conclusions are based on a study conducted by the TOI-Deloitte, which included 1800 respondents. Furthermore, 48.5 percent indicated they would like to learn more about cryptos in order to invest in them, while 39 percent claimed they have a good understanding of the asset class.
According to a report published in the Times of India, Deloitte partner Saraswathi Kasturirangan said, “Investments in cryptocurrencies have witnessed a sharp growth in India; however, the crypto industry has long awaited the Cryptocurrency Bill to be passed detailing the regulatory compliances surrounding cryptocurrencies and their taxability under direct and indirect tax laws.”
According to statistics, nearly 20 million people in the country have invested in cryptos, therefore it’s not surprising that 77.4 percent want crypto investments to be treated the same as stocks trading and investing. Furthermore, analysis from Nasscom and WazirX, shows the Cryptocurrency business is developing at an unexpected rate, with projections of $241 million by 2030.
