Two tax readings
Why your profits could be taxed in two different ways, and the reports we give you for each.
Not tax advice. Tax treatment of these contracts is not settled. We give you reports for both readings; decide with your CA.
Reading 1: business income
Profits and losses from trading are treated like income from a business. Your net result for the year (profits minus losses, fees and funding) is added to your income at your slab rate. A loss can be set off against other income and carried forward under the business-income rules.
Reading 2: virtual digital asset (VDA)
A flat 30% (plus 4% cess) on each gain. Losses are not set off against gains, and costs like fees aren't deducted. A 1% TDS also applies to transfers under this reading.
What the difference looks like
| This year | Business income | VDA |
|---|---|---|
| Trade A: +₹10,000 | Net +₹4,000 at your slab rate | 30% of ₹10,000 = ₹3,000 + cess |
| Trade B: −₹6,000 | Not set off |
The demo's Portfolio has a Tax report for each financial year (April to March, IST) with both readings, a CSV of every trade and funding charge, and a page you can print or save as PDF to share with your CA.
Demo money only. Moveintrade is not live and does not open trading accounts yet. Leverage magnifies losses as much as gains: most retail derivatives traders lose money.