Crypto Tax Calculator

This calculator estimates the tax on your Virtual Digital Asset (VDA) gains — cryptocurrencies like Bitcoin and Ethereum, plus NFTs and other tokens — under India's dedicated VDA regime introduced by the Finance Act 2022. Enter each buy/sell (or each airdrop, staking, mining or gift receipt at its fair market value) and the tool works out your taxable gain, the flat 30% tax with cess and surcharge, the 1% TDS already deducted, and the net amount payable when you file your ITR.

Who is this for?

Indian retail traders, long-term HODLers, NFT creators and anyone who received crypto as an airdrop, staking reward, mining output or gift during the financial year. If you transacted on an Indian exchange you have almost certainly had TDS deducted; this tool helps you see whether you owe more tax or are due a refund.

How crypto is taxed in India — Section 115BBH

Income from the transfer of any VDA is taxed at a flat 30% under Section 115BBH, regardless of your income-tax slab and regardless of how long you held the asset (there is no short-term vs long-term distinction). On top of the 30% you pay 4% health and education cess, plus a surcharge if your total income crosses the surcharge thresholds. Three rules make VDA tax unusually harsh:

• No deduction except cost of acquisition. You can subtract only what you paid to buy the asset. Brokerage, exchange fees, gas/network fees, internet costs and interest are not deductible.
• No loss set-off. A loss on one coin cannot offset a gain on another coin, cannot offset any other income (salary, business, capital gains), and cannot be carried forward to future years.
• No indexation, no concessional rate. Unlike property or equity, there is no inflation indexation and no lower long-term rate — every gain is taxed at 30%.

The exact formula

Taxable Gain = Σ max(0, (Sell − Buy) × Quantity) — losing trades are floored at zero, never netted off.

Base Tax = Taxable Gain × 30%

Cess = (Base Tax + Surcharge) × 4%

Total Tax = Base Tax + Surcharge + Cess

Net Payable = Total Tax − 194S TDS already deducted

Section 194S — the 1% TDS

The buyer or exchange must deduct 1% TDS on the sale consideration (turnover, not profit) for VDA transfers under Section 194S. The threshold is ₹50,000 per financial year for general buyers and ₹10,000 for "specified persons" (individuals/HUFs not subject to tax audit). This TDS is not an extra tax — it is a credit against your final 30% liability, and any excess is refundable when you file.

Worked example (₹)

Suppose you buy 0.5 BTC for ₹20,00,000 and later sell it for ₹26,00,000. Your gain is 26,00,000 − 20,00,000 = ₹6,00,000. The base tax is 6,00,000 × 30% = ₹1,80,000, and cess is 1,80,000 × 4% = ₹7,200 (assuming no surcharge), giving a total tax of ₹1,87,200. Note that the exchange already deducted 26,00,000 × 1% = ₹26,000 as 194S TDS, which you claim as credit — so the balance payable at ITR is 1,87,200 − 26,000 = ₹1,61,200. Crucially, if you also lost ₹2,00,000 on another coin that year, that loss does nothing to reduce this bill — the full ₹6,00,000 gain is still taxed.

Airdrops, staking, mining and gifts

Per the CBDT FAQs (June 2022), airdrops, staking rewards and mining receipts are taxed at 30% on their fair market value (FMV) on the date of receipt. If you later sell higher, the further gain is taxed again at 30%, with the cost basis reset to that already-taxed FMV. For these, enter buy price as 0 and sell price as the FMV on receipt. Crypto gifts from a relative are tax-free; gifts from non-relatives above ₹50,000 aggregate in the year are taxed at 30% in the recipient's hands.

Common mistakes

• Netting losses against gains — the law forbids it; each profitable trade is taxed in full.
• Deducting exchange fees or gas — only the cost of acquisition is allowed.
• Treating the 1% TDS as the final tax — it is only a credit; the real liability is 30%.
• Forgetting foreign-exchange and self-transfer trades, which can still trigger 194S TDS.

India notes

VDA gains are reported in Schedule VDA of the income-tax return. Rules are evolving and complex scenarios (DeFi, futures, lending, cross-exchange transfers) can be contentious — verify against incometax.gov.in and consult a CA familiar with VDA taxation. This tool gives estimates only and is not tax advice.