GST On Cryptocurrency Soon? Council To Take Decision Next Week | Check Details Here

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GST Council | New Delhi: Goods and Services Tax (GST) council will meet next week in Chandigarh to decide whether GST should be implemented on cryptocurrency or not. According to a report by Bloomberg, the council will meet on June 28 and 29. This might further spoil the mood for crypto investors as the council can put the digital tokens under the highest slab of 28 per cent.Also Read – Tech Boom: Crypto, Blockchain, NFT Jobs Jump 804 Per Cent Post-Covid

According to a latest FAQ by the Central Board of Direct Taxes (CBDT), 1 per cent TDS on transferring cryptocurrency, which was introduced in the Budget 2022, will be applicable from July 1. The responsibility of getting the TDS from the customers will lie in the hands of the crypto exchanges, CBDT further said. Also Read – Crypto Crash: Indian Investors Lost Nearly Rs 1,000 Crore To Fake Cryptocurrency Exchanges

In her Budget 2022 speech, Finance Minister Nirmala Sitharaman announced a 30 per cent income tax on cryptocurrencies. In addition to that, 1 per cent TDS was also announced on the transfer of virtual digital assets. The 30 per cent rule has already been implemented from April 1. Also Read – Elon Musk Offers Support To Dogecoin Crypto, Says ‘Will Keep Buying Cryptocurrency’

Crypto investors are already in trouble with the value of these assets diminishing quickly. Bitcoin has fallen over 60 per cent from its peak in November 2021. Several stablecoins like Luna have lost 90 per cent of their value. With the central banks hiking their interest rates to tackle inflation, the value of digital tokens is expected to fall lower.