The government will lose a lot of money if India implements a 1% tax deducted at source (TDS) on all cryptocurrency transactions. Nischal Shetty, the creator of the Indian crypto exchange WazirX.

Nischal Shetty Perspective on Taxation

In February, the Indian government declared a 30% tax on cryptocurrency income, and also a 1% transaction tax.

• Shetty argues that imposing a 1% TDS on bitcoin transactions will generate more money, but the actual profit will be significantly smaller due to increased annual tax returns.

• According to Shetty’s calculations, a 0.1 percent TDS would enhance government earnings by cutting tax refunds and alleviating the burden on dealers.

• Shetty’s math, on the other hand, shows that the government is losing money in the form of taxes.

• “With only a small amount to repay, traders are unaffected and can continue to trade and profit.” “More earnings for the government equals more income tax,” he explained.

Finance Minister View

Many Indians see cryptocurrencies as having a future, and the government sees income prospects in the asset class, according to finance minister Nirmala Sitharaman.

Whereas cryptocurrency industry experts is said to have advised the government to adopt a cautious approach to implementing a 1% TDS (tax deducted at source) on virtual digital asset transactions, claiming that compliance would be difficult.

In addition, the sector has asked the finance ministry to reconsider the 30% tax on profits from crypto asset transfers, claiming that the tax is imposed without waiting for the recipient to sell the asset and make a profit.

About WazirX

WazirX’s utility token is WRX. The Binance blockchain is the foundation for the WRX token. It has a total supply of one billion units. On the trading exchange, token holders will be rewarded with a variety of benefits, including trading fee savings, WRX trade mining, token airdrops, margin fees, and more.

WRX and WRX are funded by Indian entrepreneurs with more than a decade of expertise developing and scaling global companies from India. Binance also bought WazirX in November of this year. WazirX‘s mission is to make cryptocurrency approachable to everybody in India.

At the time of writing, WazirX is trading at $0.602812 USD. In the last 24 hours, WazirX has lost 2.56 percent of its value. With a live market cap of $230,187,828 USD & CoinMarketCap now ranks 180. There are 381,856,864 WRX coins in circulation.

If you’re looking for a place to buy WazirX, the best cryptocurrency exchanges to use right now are Binance, FTX, Mandala Exchange, KuCoin, and Gate.io.

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