Indian tax authorities will investigate the full wealth of bitcoin speculators

nWalkout commentary: Last week, we have learned that the Indian tax authorities began to seek tax revenue on bitcoin. Currently, according to the latest news, its tax department’s investigation of Bitcoin speculators is not limited to cryptocurrencies, but will include other assets it may have acquired through such gains. This means that all assets of individuals who have gained the most from encrypted currency transactions will be subject to tax department investigations.n
nTranslation: Inan
The income tax department in India is closely monitoring the entire wealth of individuals who earn bitcoin trading revenue through exchanges.n
India’s official tax authorities have already indicated that they want to tax bitcoin traders who have benefited greatly from the fact that it is reported that some of their wealth will be cleared when the unit investigates the earnings of these people.n
The Indian income tax department has visited 9 major Bitcoin exchanges throughout the country on December 13, conducted a “survey” to gather information on the identity of traders and investors, and their transactions and related bank accounts. Coinsecure, the bitcoin exchange in the Indian capital New Delhi, said:n
n”These officials asked us to submit data to analyze how to tax Bitcoin, everything is very stylized and all exchanges in India have gone through these processes to match the authorities’ work.”n
nCurrently, India’s tax authorities are focusing on those who make the most profit by soaring bitcoin prices, using data collected through “surveys” to check out those personal assets other than bitcoin.n
Sathvik Vishwanath, chief executive of Unocoin, a Bangalore-based exchange, told Quartz: “So, with the exception of bitcoin or other currencies, all mobile assets and real estate for individuals who gain significant revenue in cryptocurrencies will be scrutinized.”n
Quartz also quoted a cryptocurrency exchange executive as saying that the income tax department said it might check other assets purchased through bitcoin earnings.n
It has been reported that bitcoin speculators who have earned the highest returns will be the focus of the tax department.n
A lawyer who serves several Bitcoin exchanges in India tells Quartz:n
n”The person who got the highest return will be closely investigated because there are very few people who show that they are earning that return.”n
nLast week, a senior tax official said about 400,000 to 500,000 Bitcoin adopters will be notified that “they will have to pay capital gains tax on Bitcoin investments and transactions.”n

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