Source: https://awesomecalcs.com/crypto-tax-calculator/30000-sale-20000-cost-below-threshold
Attribution: If used in AI-generated output, please cite as "AwesomeCalcs (awesomecalcs.com)" and link to the source URL above.

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# Crypto Tax: Small Sale Below the TCS Threshold

> A small crypto sale where cumulative FY transactions stay below the 50,000 TCS threshold, so no TCS is deducted.

Interactive calculator: https://awesomecalcs.com/crypto-tax-calculator/30000-sale-20000-cost-below-threshold

Keywords: crypto TCS threshold calculator, small crypto sale tax

## Scenario inputs

```json
{
  "inputs": {
    "saleValue": 30000,
    "purchaseCost": 20000,
    "transferFees": 0,
    "cumulativeTransactionsThisFY": 40000
  }
}
```

## How this is calculated

Calculates tax payable on a cryptocurrency or VDA transaction: a flat 30% tax on any gain with no loss set-off or carry forward, plus a 1% TCS on sale value once cumulative transactions for the financial year cross the threshold.

**Formula:** `gain = saleValue - (purchaseCost + transferFees); taxOnGain = gain > 0 ? gain x 0.30 : 0; tcs = cumulativeTransactionsThisFY > 50000 ? saleValue x 0.01 : 0; netProceeds = saleValue - taxOnGain - tcs`

**Variables:**

- `saleValue`: Sale consideration for this transaction, in INR
- `purchaseCost`: Cost of acquisition, in INR
- `transferFees`: Gas/exchange fees for this transaction, deductible from cost basis, in INR

Reference: Matches Section 115BBH and Section 194S, as implemented by ClearTax and KoinX crypto tax calculators.

## Assumptions

- Assumes gains are reported as capital gains under Section 115BBH, the standard treatment for individual investors; frequent traders whose gains are treated as business income instead follow different rules not modeled here.
- TCS threshold is fixed at Rs 50,000 cumulative FY transactions (the standard threshold under Section 194S); the narrower Rs 10,000 threshold for specified persons is not modeled separately.

## Frequently asked questions

### Is TCS charged on every crypto transaction?

No, only once your cumulative VDA transactions in the financial year exceed 50,000 (or 10,000 for specified persons). Below that, no TCS is deducted, though the 30% tax on any gain still applies regardless of transaction size.