“Any income from transfer of any virtual digital asset shall be taxed at 30 percent,” Finance Minister Nirmala Sitharaman announced in her Budget 2022-23 speech in Parliament on February 1, 2022. The announcement paves the way for crypto assets to be taxed in India, marking a shift in the government's approach towards cryptocurrencies. “The magnitude and frequency of these transactions have made it imperative to provide for a specific tax regime,” Sitharaman said during her speech, noting that there had been a “phenomenal increase” in the transaction of virtual digital assets. It is one of the most significant announcements from the Indian government which hints at their strategy towards dealing with crypto assets and non-fungible tokens (NFT). Does a tax on virtual digital assets legitimise cryptocurrencies? In her post-budget press conference, Sitharaman said that the Reserve Bank of India will issue currencies. Consultations are underway and all the questions surrounding crypto and crypto assets will be clear only after the conclusion of stakeholder consultation, she added. The Indian government is yet to clarify how it plans to regulate crypto assets. When asked about why taxation has been proposed before regulation, Sitharaman said, "I cannot wait for regulation to come in to tax people who are earning a profit." Are cryptocurrencies an asset or currency? Sitharaman said that currency becomes a currency if it is issued by the central bank even if it is crypto. "We loosely refer to cryptocurrencies, they are not currencies. Currencies are with the central bank. We are…
- Why did the Delhi High Court restrict use of Amitabh Bachchan’s image and voice? November 25, 2022
- Why did an Indian exchange, CoinDCX, publish its Proof of Reserves days after releasing its R2L ratio? November 25, 2022
- DPDP Bill, 2022 Has Received Good Response From Stakeholders: MeitY’s Ashwini Vaishnaw November 25, 2022
- Twitter Blocks Tweet of CJ Werleman’s YouTube Show Discussing Police Violence Against Indian Muslims November 25, 2022
- Unique Identification Authority of India (UIDAI) says verify Aadhaar as ID proof using QR November 25, 2022
MediaNama’s mission is to help build a digital ecosystem which is open, fair, global and competitive.
The Structure and Style of a Dogma Community: Conspiracy theories and organized Twitter engagement on Sushant Singh Rajput
Studying the 'community' supporting the late Sushant Singh Rajput (SSR) shows how Twitter was gamed through organized engagement
Do we have an enabling system for the National Data Governance Framework Policy (NDGFP) aiming to create a repository of non-personal data?
A viewpoint on why the regulation of cryptocurrencies and crypto exchnages under 2019's E-Commerce Rules puts it in a 'grey area'
India's IT Rules mandate a GAC to address user 'grievances' , but is re-instatement of content removed by a platform a power it should...
Why ‘group privacy’ should be recognised, and how ‘non-personal’ data becomes a regulatory blindspot
There is a need for reconceptualizing personal, non-personal data and the concept of privacy itself for regulators to effectively protect data
Please subscribe to MediaNama. Don't share prints and PDFs.
You May Also Like
Google has released a Google Travel Trends Report which states that branded budget hotel search queries grew 179% year over year (YOY) in India, in...
135 job openings in over 60 companies are listed at our free Digital and Mobile Job Board: If you’re looking for a job, or...
Twitter takes down tweets from MP, MLA, editor criticising handling of pandemic upon government request
By Aroon Deep and Aditya Chunduru You’re reading it here first: Twitter has complied with government requests to censor 52 tweets that mostly criticised...