Crypto Tax Calculator
What is a crypto tax calculator?
Toolandgame’s Crypto Tax Calculator provides Indian crypto investors and traders with an easy way to accurately calculate their tax liabilities based on India’s specific tax regulations.
According to Indian income tax laws, any income earned from the transfer of cryptocurrencies is taxed at a flat rate of 30%.
How to use the crypto tax calculator?
- Enter Crypto Income
- Enter Initial Crypto Invetsment
- Enter Other Expenses
- Crypto Tax of 30% is fixed
- Click on “Calculate”
Formula for Crypto Tax
Tax = Profit * Tax Rate;
Tax = Crypto tax
Profit = Profit earned by selling crypto
Tax Rate = Rate decided by govt currently 30%
Example:
Ashok earned profit of ₹2000 by selling its crypto currency so tax would be
Tax = 2000 * 0.3;
Tax = 600.
FAQs
Who needs to pay tax on crypto gains in India?
Anyone earning income from the transfer, sale, or exchange of cryptocurrencies is required to pay a flat 30% tax, as per Indian tax laws.
How does the Crypto Tax Calculator help me?
The calculator quickly estimates your tax liability based on your crypto gains, saving you time and reducing errors when filing your taxes.
Can I offset my crypto losses against other income?
No, under Indian laws, crypto losses cannot be set off against any other income or carried forward to future years.
Is it mandatory to report crypto gains even if the amount is small?
Yes, all crypto transactions, no matter how small, must be reported to comply with Indian tax regulations.
Will this calculator automatically file my taxes?
No. The calculator helps you calculate your tax amount. You will still need to manually file your income tax return or consult a tax expert
Is the calculator only for Bitcoin and Ethereum?
No, it works for any cryptocurrency. You simply need to input the purchase and sale values, regardless of which coin or token you traded.