Cryptocurrency exchanges have expressed alarm after a report said that the government is proposing to levy hefty goods and services tax (GST) on their trading. Exchange executives have been quick to point out that they pay GST on fees and commissions levied by them on crypto trading. Crypto trading is estimated to be worth ₹40,000 crore per annum, which would net the government around ₹7,200 crore in revenue. Nischal Shetty, chief executive officer of WazirX, India’s largest cryptocurrency exchange, said an 18% GST on cryptocurrency transaction amount is not feasible and no other country has such a tax. Crypto exchanges also emphasized that they pay GST on services rendered by them.

Source: Mint December 31, 2020 01:52 UTC