Answer

1. F

   Facts

   For the giver: Gifting crypto is a "transfer" under the IT Act. The giver pays 30% VDA tax on the difference between FMV at the time of gift and their cost of acquisition, even though no money was received. This surprises most crypto holders.

2. P

   Provisions and law

   • IT Act, Sec 92(2)(m) (old 56(2)(x)
   • receiver) | Sec 45 (giver)
3. A

   Analysis

   For the receiver: If you receive crypto as a gift worth above ₹50,000 from a non-relative, the entire FMV is taxable as "income from other sources" at slab rate under Sec 92(2)(m), Income-tax Act 2025 (old Sec 56(2)(x)). Relatives (as defined in the Act) are exempt, spouse, siblings, parents, children, siblings of spouse. Strategy: Gift crypto only to defined relatives to avoid receiver-side taxation. But giver-side tax still applies. There is no way to gift crypto completely tax-free between non-relatives.

4. C

   Conclusion

   Talk to a Savvy for the exact next step on your case.

General guidance from TaxSavvy’s library of money processes. Laws change; your Savvy confirms the answer on your exact case before anything is filed.