An example of the absurdity of the taxes in India

https://www.bloomberg.com/news/articles/2022-06-05/terra-investors-in-india-lost-big-now-they-face-the-taxman

This article points out the absurdity of the taxes in india regarding those who had invested into the Terra ecosystem.

First the losses from LUNA and UST cannot be offset.

Second, the air drop of LUNA 2.0 can be taxed at 30% if it is interpreted as an income or taxed as a gift, which will be depending on the tax slab of the person. Looking at upto 50% tax somethimes

Finally, when you sell your LUNA 2.0 back to fiat, you have to pay 30% capital gains tax on it.

WTF. If someone had decent investment into LUNA or UST, this will basically wipe out their crypto gains for the year.