India Budget 2024: The much-awaited reduction on crypto taxes in this year’s budget remains questionable in the aftermath of recent developments.
India Budget 2024 is all set to be presented tomorrow and remains a hot topic nationwide. Meanwhile, the Economic Survey was tabled by the Indian Finance Minister Nirmala Sitharaman today. The crypto community’s hopes don’t seem optimistic at present, as no developments hinted at a crypto tax reduction.
Notably, the Economic Survey projected a real GDP growth of 6.5 to 7 percent. Besides, the RBI (Reserve Bank of India) anticipated the inflation to be 4.5 percent in FY25 and 4.1 percent in FY26.
The current cryptocurrency landscape in India remains questionable, primarily with significantly high TDS on VDA (Virtual Digital Assets). This impacts market participation nationwide, with the community eagerly expecting relief in the upcoming Indian Budget 2024.
For context, the current TDS is 1%, which was much anticipated by the community to be slashed to 0.01%. However, no hints were drawn towards this issue during today’s economic survey presentation.
Although the country aims to move forward with the aim of “Viksit Bharat” with the India Budget 2024, meaning evolving India, its stance towards crypto has yet to evolve. Nonetheless, in light of the Survey, Chief Economic Advisor V. Anantha Nageswaran hinted towards possible AI (artificial intelligence) developments and related inclusions in the upcoming budget.
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Nevertheless, the nation continues to eagerly await the first Indian budget to be presented by the newly elected NDA government led by Prime Minister Narendra Modi. Some other expectations from the India Budget 2024 include reducing a 30% crypto tax on profits and eradicating taxable yield farming, staking, and lending, among other digital asset-related activities.
Intriguingly, recent events that unfolded within the crypto sector might further prompt the Indian government’s decisions to include apt regulations surrounding this asset. The recent WazirX exchange hack has further sparked speculations nationwide.
On the other hand, some of the most renowned CEXs, Binance and KuCoin, became FIU compliant this year. Although risks surrounding this financial tech still persist, the rising popularity in India is definitely a point for the government to consider.
