Bybit, a global cryptocurrency exchange, recently announced that it will be applying 18% Goods and Services Tax (GST) for Indian crypto users, starting from July 7, 2025. The GST amount will be directly deducted from the assets received.

18% GST is India

• Spots and margin trading: Taxes are based on fees and orders

• Derivatives:

• Fiat-related transactions: Buy crypto via a bank or card

• drawer: It is also likely that collecting the wrong deposit will be taxed.

• Staking: Service charges for transactions and acquired products are taxed

What do you expect from the new GST?

BYBIT reported that over 310,000 active Indian users will be affected by the new 18% GST. For example, a transaction fee of £2,000 requires users to pay £360 in GST, resulting in a total tax of £2,360. Users can see the amount of GST charged under their transaction history, along with their respective fees, as reported in BYBIT.

In addition to implementing GST, Bybit has begun termination of several products and services from 8am on July 9, 2025 at UTC.

• Cryptoron:

• fiat- bybit card: Existing cards will be blocked from creating new transactions starting July 17th. The new card application is not available.

• Trading Bot:

Final Thoughts

India first enforced a 30% capital gains tax and a strict crypto tax in 2022 with a 1% TD on all transactions. The users were already unhappy with the harmsh tax regime, which resulted in a decline in trading activity and dissatisfied customers. Currently, crypto users’ responses are unknown.