Made Gains in Crypto? Here’s How to Report & Pay Tax in ITR for FY 2024-25!

The 30% flat tax on crypto is in full force — and yet, many investors are clueless about how to report their profits, pay taxes, and file ITR correctly.

Whether you made profits in Bitcoin, ETH, Solana, or even meme coins — here’s your ultimate guide.


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1. Crypto = Virtual Digital Asset (VDA)

Under Section 115BBH (introduced in Budget 2022), all crypto and NFT gains are taxed as follows:

Flat 30% tax on profits

No deduction allowed (except cost of acquisition)

1% TDS under Section 194S on transfers (if done on exchanges)

No set-off of losses against other income

2. When & Where to Report in ITR

Use ITR-2 (for salary + capital gains)

Use ITR-3 if trading in crypto frequently (treated as business)

3. How to Calculate Crypto Tax
Example:
Bought ETH at ₹1.5L, Sold at ₹2.1L

Profit = ₹60,000

Tax = ₹18,000 (30%)

No indexation or expense deduction allowed
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4. What If You Got Crypto as a Gift or Payment?

Gifts of crypto > ₹50,000 = taxable as income

If received as payment for services = business income (taxed at slab rate)
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5. TDS Already Deducted by Exchange?

Claim TDS credit via Form 26AS

Adjust while paying remaining tax liability in ITR