Calculate your exact crypto / VDA tax liability for FY 2025-26. Flat 30% on gains, 1% TDS, no loss set-off — all in one place.
India introduced a specific tax regime for Virtual Digital Assets (VDA) — which includes cryptocurrencies, NFTs, and tokens — from FY 2022-23 onwards. The rules are strict, with no room for deductions, exemptions, or loss set-offs. Understanding this regime is essential for every crypto investor in India.
The following are classified as Virtual Digital Assets under Indian tax law and are subject to the 30% flat tax:
India taxes all Virtual Digital Assets (including crypto) at a flat 30% on gains, plus 4% health & education cess. This results in an effective rate of 31.2% for most taxpayers. Surcharge applies for high incomes, capped at 15% for VDA. This is applicable from FY 2022-23.
Yes. The 1% TDS deducted by the exchange (Section 194S) is a tax credit that can be claimed when filing your ITR. It reduces your final tax payable. TDS is deducted by the exchange on transfers above ₹50,000 per year (₹10,000 for specified persons such as individuals/HUFs with business income).
No. Section 115BBH explicitly prohibits setting off VDA losses against any other income, including salary, business income, or capital gains from stocks. You also cannot carry forward VDA losses to future years.
Yes. In India, exchanging one cryptocurrency for another (e.g., BTC to ETH) is treated as a taxable event — effectively a sale of BTC at its market value, followed by a purchase of ETH. The gain on the BTC sale is taxed at 30%.
Salaried individuals with crypto income must use ITR-2 (if no business income) or ITR-3 (if any business/professional income). Report crypto in Schedule VDA. ITR-1 (Sahaj) cannot be used if you have VDA income.
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