Derivatives & Risk

How are crypto futures and F&O taxed in India?

In India, gains from crypto futures and other virtual digital asset derivatives are generally taxed at a flat 30 percent under Section 115BBH, with a 1 percent TDS applying to relevant transactions and losses not permitted to offset other income. This treatment differs from equity F&O, which is usually taxed as business income at slab rates. For example, a 100,000 rupee profit on a crypto futures trade would attract roughly 30,000 rupees in tax regardless of your bracket. Rules evolve, so confirm current provisions with a qualified tax professional before filing.

Crypto investments are subject to market risk and volatility. Past performance is not indicative of future returns. This is general information, not investment advice — consider your own circumstances or consult a qualified adviser before investing.