As always the news platform, rajkotupdates.news : government may consider levying tds tcs on cryptocurrency trading has done no delay in bringing us the latest news but now on the cryptocurrency topic which is hot and booming nowadays. The cryptocurrency is becoming a hot topic for discussion nowadays in the entire world. If we talk about India and crypto, this currency has got a major following among the citizens. The Indian government due to this hot market has made a decision of levying TDS and TCS on crypto’s trading.
What is TDS/TCS?
In order to understand these tax levying, we must firstly understand what is TDS and TCS. These two terms are tax related TDS stands for Tax Deducted at Source and TCS stands for Tax Collected at Source. These two forms of taxes are from the Government of India and are collected by them as well. The tax that is deducted at source is from the payer who is making the payment. The person of receives the payment is requested to the deposit the tax to the government of India. The tax collected from the buyer at the time of the buyers purchasing and the sellers selling of any kinds of goods (collected by the seller) is called TCS.
Government Levying tax on Crypto Traders
The Government of India decides to levy tax on the cryptocurrency traders as they are growing day by day and they implement the taxes TCS and TDS on them in order to increase the income generation of the government and to make the people trading crypto abide by the tax laws. The government has not yet implemented the taxes but are thinking to do so, the proposal is still in a stage where it is not yet decided fully. The news presented on rajkotupdates.news : government may consider levying tds tcs on cryptocurrency trading tells us more about its impacts that we are going to be discussing below.
What will be the IMPACT?
This move by the government is a bold move. It is going to have both positive and negative impacts on the crypto traders as well as normal goods traders. The people who do not know about this cryptocurrency trading are going to be scared from this tax levy and they will not approach the market as they would do if there would have been no levy on crypto trading. The impacts discussed in rajkotupdates.news : government may consider levying tds tcs on cryptocurrency trading are helpful in understanding the concept even more easily, however, this move can also be a good move for the government as they would generate more revenue and the traders would follow taxation rules.
New Concept for Individuals
This concept of cryptocurrency is relatively new and simple and non-tech people do not know about this currency as it is related to online trading and not many people living in rural areas can understand this, this move of levying tax by the government on the cryptocurrency traders as mentioned in rajkotupdates.news : government may consider levying tds tcs on cryptocurrency trading can be in contrast to the ideas of the traders in rural areas. They would not want new taxes and they would not want to learn more about cryptocurrency and online trading which will ultimately make them backward and the development and infrastructure would also be affected. They must be made aware of this concept and government must give some subsidies to the newcomers in the crypto world.
Certainty by the Government of India
The public authority should guarantee that the duties are executed in a manner that is fair and straightforward. Individuals should know that the public authority is creating income from this and spending it to improve the country. The trust working among the citizens and the public authority should be made and the duty regulations should be clarified to the crypto merchants with the goal that they can undoubtedly cover the expenses and they don’t need to confront issues in regards to the TDS and TCS. The rajkotupdates.news : government may consider levying tds tcs on cryptocurrency trading tells us how the government is levying the tax.
The conclusion that we can take from the above-mentioned article is that the government may consider levying tax on the cryptocurrency traders and if they do they must do it in a manner that is simple and easily understood by the taxpayers individuals. It may have negative impacts and positive as well but the move would be ultimately for the betterment of the state only if the state is corruption free. This move would also regulate the cryptocurrencies in India and they would also be a market that is paying taxes to the government of India. Ultimately, the country/state would benefit from this bold step (if taken).