The Indian government is considering introducing an 18% tax on all Bitcoin transactions. It is unclear whether the new law will affect other cryptocurrencies, but the most popular of them is planned to be taxed.
The new proposal to tax all Bitcoin transactions comes from a division of the Indian Ministry of Finance. The country’s Supreme Court only lifted the cryptocurrency trading ban in March this year after a lengthy legal battle, but digital money still exists in a gray zone.
The new proposal would classify bitcoin as an “intangible asset” rather than how most cryptocurrency proponents would like to classify it as a regular currency. Many skeptics believe that this is nothing more than a convenient way to launder money and make illegal businesses flourish.
The financial tycoons estimate that the new Bitcoin tax will bring in roughly $ 1 billion a year.
Now the cost of Bitcoin is about $ 27,300. After a sharp rise in 2017 and a precipitous decline, the digital currency began to rise again.