I think if you have bitcoin holdings, you have declare it every year until you sell it off.
Am I right?
Am I right?
That is one interpretation which I am afraid of, and don't think is right.
This provision can be easily used to harass the crypto-community in the future.
what do you mean by harass?
if you declare it like this every year what is the problem? you don't have to pay tax on your bitcoin holdings every year right? it's only the first year.
They may decide
- Those who have declared may need further scrutiny
- If you miss declaring it in the first year, then you are in trouble.
- In case law changes (let us say bitcoin becomes illegal) then the government has a ready database.
bitcoin becoming illegal can't really be retrospective right? if they actually ban bitcoins we should stop using them I guess. I don't suppose everyone who has traded with bitcoins will be in trouble because that was in the past.
Their is no past in Tax Law, when they impliment any law they go back for some years and start searching all records. Ya but it is now upto the government to take Bitcoins as what way in India.
ok so what can they ban? possessing bitcoins or trading them for INR? if it is the former they might ask people to hand over all bitcoins. if it is the latter they might shut down exchanges?
I don't understand what you meant by "no past in tax law". you mean all tax laws passed are retrospective?
there seems to be a lot of lack of clarity regarding the whole legal scenario. it would be good if someone clarified this once and for all (all the possible outcomes of using bit coins and their likelihood).