Bengaluru Auto Driver's Cryptocurrency Payment Option Leaves Internet Amazed

Cryptocurrency is a sort of digital money that uses encryption for security purposes. Crypto transactions are typically completed in a matter of minutes and incur fewer transaction costs than standard payment methods since there is no intermediary. In India, there is no central body in charge of regulating cryptocurrencies as a means of payment. When it comes to resolving conflicts with cryptocurrencies, there are no laws, norms or recommendations. Hence, there is a broad scepticism of cryptocurrency payment methods as trading in digital currencies is done at the risk of investors. But not for this Bengaluru auto-driver.

A Bengaluru auto driver is gaining attention on social media after a photo of a note he placed within his vehicle went viral. Above the windscreen, there was a piece of paper that said, “We accept crypto currency.” The individual who posted the picture on X said, “Bro is transforming faster than most literate Indians.”

The users in the comments section were undoubtedly thrilled.

A user commented, “He must be attending those web3 hackathons in parallel I bet.”

Another user humourously asked, “Is he an employee of WazirX?”

“Only can be seen in Bengaluru,” said another user.

A user highlighted, “30% tax. No deductions.”

Notably, the Indian government announced a 30% tax on cryptocurrency earnings and a 1% tax withheld at source in the Union Budget 2022. The government of India has presented the Cryptocurrency Bill 2021 in the Lok Sabha as a legislative shift to control the growing crypto industry in the country. Through the introduction of the bill, the government officially began the process of regulating cryptocurrencies.

With this bill, the Reserve Bank of India (RBI) hopes to provide a more advantageous framework for the official digital currency. The term cryptocurrencies was not initially defined in India’s Income Tax Act or Goods and Services Tax (GST). But Finance Minister Nirmala Sitharaman proposed a tax system for virtual or digital assets, like cryptocurrency, in the Union Budget 2022.

As per the same, those who invest in cryptocurrencies are required to declare their income, including their estimated gains and losses. Taxes of 30% will be applied to the profits from the sale of digital assets, such as NFTs and cryptocurrencies. Profits from virtual asset transfers will only be reported at purchase cost, no deductions will be allowed. 1% of the buyer’s payment is withheld at source (TDS) if it exceeds the threshold limit. When the digital currency is received or transferred as a gift, the recipient gets taxed. You cannot offset any losses you incur from investing in virtual assets with other sources of income.