What is CoinDCX?
CoinDCX is a popular crypto exchange for Indian investors, offering a wide selection of popular altcoins, as well as product offerings for more experienced investors like margin trading and futures, as well as an earn product for passive income from crypto investments.
Learn more about CoinDCX security, fees, and more in our best Indian crypto exchanges guide.
How to get your CoinDCX tax report with Koinly
Whatever your CoinDCX investments - when it comes to tax time, Koinly can help. Here's how it works:
- Sign up to Koinly and choose your country (India) and currency (INR)
- Connect CoinDCX with Koinly to import all your CoinDCX trades safely and securely
- Koinly categorizes CoinDCX transactions into gains, losses, and income
- Download your crypto tax report from Koinly
- File your crypto taxes online using the Income Tax Return Portal or hand your report over to your accountant
Does CoinDCX report to the Income Tax Department in India?
In a manner of speaking, yes. The government introduced a 1% TDS on all purchases and crypto trades for Indian exchanges last year. This means compliant Indian crypto exchanges like CoinDCX must deduct TDS on behalf of users. The main reason TDS was introduced was to help the ITD keep track of crypto investments for Indian taxpayers to ensure tax compliance. As well as this, the ITD may also be able to request additional customer data from Indian crypto exchanges. You should always report your crypto investments accurately in your Income Tax Return - failure to do so comes with severe penalties.
How are CoinDCX transactions taxed?
The ITD has released guidance on crypto taxes over the past few years, meaning your CoinDCX transactions may be subject to 3 tax rates:
- 1% TDS: Purchasing crypto with INR or trading one crypto for another on CoinDCZ is subject to 1% TDS. CoinDCX does this on your behalf.
- 30% tax: Any gain from trading, selling, or spending crypto on CoinDCX is subject to a 30% flat tax. Losses from trading, selling, or spending crypto cannot be offset against gains.
- Income Tax at your individual slab rate: Earning crypto - including using CoinDCX Earn products - may be subject to Income Tax at your individual slab rate.
Learn more about how crypto is taxed in India.
How to get a CoinDCX tax statement
The ITD is clear that you need to report your CoinDCX (and any other crypto) gains and income in your Income Tax Return. You should report gains from selling, swapping, or spending crypto in the Schedule VDA, while any income from crypto should be reported in Schedule Income From Other Sources. You can do all of this using the Income Tax Portal, but you'll need to calculate the figures you need to report first.
This means you need to figure out your gains, losses, and income from CoinDCX. You'll need details including your cost base, transaction dates, and proceeds for each time you sold, swapped, or spent crypto. As well as this, you'll need to calculate the fair market value of that income in INR on the day you received it for any crypto income.
This is why most investors opt to use a crypto tax calculator like Koinly. Koinly calculates all this for you and generates crypto tax reports that include all the information you need to easily file with the ITD. All you need to do is connect CoinDCX to Koinly using API or by uploading a CSV file of your transaction history.
Learn more about how to report and pay crypto tax in India.
How to connect CoinDCX to Koinly automatically via API
On CoinDCX
- Log in to CoinDCX and go to your profile
- Select access API dashboard
- Select create a new one
- Give your API key a name, for example, Koinly
- Complete the two factor verification
- Select go to API dashboard
- Copy your API key and API secret
On Koinly
- Sign up or login into Koinly and go to wallets
- Add a new wallet: CoinDCX
- Select set up auto-sync
- Paste your API key and API secret
- Select secure import
Important
Koinly only needs a read-only API key from CoinDCX, so you may want to amend your API access settings to read-only. Please note the CoinDCX API only supports spot trade and loan interest transaction data, so if you have transactions other than this, use the CSV file method instead.
How to export CoinDCX transaction history
- Log in to CoinDCX
- Find the option to export your transaction history
- Export your CSV file
How to upload your CoinDCX CSV file to Koinly
- Sign up or login into Koinly and go to wallets
- Add a new wallet: CoinDCX
- Select import from file
- Upload your CSV file(s)
Important
Remember, Koinly will need your complete transaction history from CoinDCX - for however long you've used the exchange - in order to calculate your cost basis, income, gains, and losses accurately. This may mean you need to export multiple CSV files from CoinDCX.
How do I troubleshoot my CoinDCX integration to Koinly?
If you're having any trouble connecting CoinDCX and Koinly, try these resources:
- Head over to our help forum to read our guides.
- Hit up our discussion boards for FAQs.
- Ask us on Reddit.
- Contact us via live chat or email.
Calculate your CoinDCX taxes
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Does CoinDCX have tax documents?
The only tax documents CoinDCX provide is the TDS certificate. If you're looking for a file including all your transaction history to calculate your taxable gains and income you should use the trade history report.
How do I get CoinDCX tax documents?
The easiest way to get all information you need to report your CoinDCX transactions to the ITD is to use an Indian crypto tax calculator like Koinly. All you need to do is connect automatically using API or upload a CSV file of your CoinDCX transaction history and Koinly will calculate your gains, losses, and income for you, before generating your crypto tax report. You can then use this report to file your ITR online or hand your report over to your accountant.
Does CoinDCX provide financial or end of year statements?
No. CoinDCX does not provide financial or end of year statements, but you can export your transaction history on CoinDCX as a CSV file.
Does CoinDCX deduct TDS?
Yes. CoinDCX deducts TDS on behalf of users. You can download a TDS certificate in your account.