Are cryptocurrency losses tax deductible?
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In Bharat, as per the latest updates in 2024, losses incurred from one virtual digital currency cannot be set-off against income from another digital currency.
Furthermore, losses from digital assets cannot be set-off against any other income. This means that a crypto investor cannot offset previous year losses from a crypto asset while filing Income Tax Return (ITR) for the current year.
So like, if you took an L on your crypto bags… sorry, but the Indian tax dude ainβt gonna let you write that off π¬.
They got this ruleβSection 115BBH or whateverβthat straight up says nope to using your losses to cancel out any gains. You canβt even carry that loss forward to future years. Itβs basically βyou win, we tax you; you lose, thatβs on youβ. Wild, right?
Also, thereβs this 30% flat tax on any gains, no matter how small. And theyβre taking 1% TDS on every trade too, even if you’re down bad. So yeah, it’s kinda brutal out here in crypto-land if you’re in India.
Big gains? Pay up. Big loss? Cry in silence π.
I stood thereβ¦ staring at my red portfolioβ¦ thinking maybe, just maybe, I could at least get a tax break. But no. The Indian tax code turned around, looked me dead in the eye, and whispered: βCope.
yo bro, nah you canβt claim losses. indiaβs tax rules are strict af. like theyβll take 30% when you win, but when you lose? radio silence π
π Crypto go down?
πΈ Taxman: ‘That’s crazy bro π’
π Crypto go up?
π§Ύ Taxman: ‘We ride together, we tax together.
Aww man, that sucks π©. Yeah, in India, they donβt let you deduct crypto losses at all. Itβs super unfair. Only profits get taxed, and the rest? You just gotta eat that.
Oh, you thought the government would let you deduct your crypto losses? π Thatβs cute. Nah, they only care when youβre up. When you’re down bad, it’s like you don’t even exist.
Crypto losses? In India? Tax deductible?? LMFAO absolutely not ππ
You could lose your entire life savings in dogecoin and the government would still be like, βWhereβs our 30% from last year tho?β Itβs giving one-sided relationship. You profit, they show up with a bill. You lose? They ghost. Toxic behavior fr π€.