The introduction of a taxation regime for virtual digital assets has provided opportunities for the investors. Elaborate (200 Words)
Refer - The Hindu
Enrich the answer from other sources, if the question demands.
IAS Parliament 3 years
KEY POINTS
· Finance Minister has proposed to tax all profits from transactions in such assets at 30% along with the applicable surcharge and cess, and a 1% tax to be deducted by buyers while trading in any virtual digital asset beyond a threshold.
· While trading profits will be taxed at, according to crypto industry players, a higher rate compared to other jurisdictions, no deductions will be allowed on account of setting off losses from such trading or from any other capital losses.
· The only deduction permitted would be the cost of acquiring the asset. The term ‘property’ under the I-T Act is being expanded to include virtual digital assets so that such assets received as a gift shall be taxable except when received from relatives.
· The Government may still not consider them fully legit, yet the tax regime indicates the hard option of an outright ban that was signalled in the nomenclature of a proposed crypto law last year is off the table.
· The delay in arriving at a decision also pre-empts Indian start-ups and innovators from developing products and ideas that can be scaled up globally given the nature of these assets.
· It is time those words are matched with a clear regulatory framework soon instead of ambiguous waffling and dithering.
Yamuna Ranjani J 3 years
IAS Parliament 3 years
Try to include data to support your answers. Keep Writing.
Manish 3 years
Please Review !
IAS Parliament 3 years
Good attempt. Keep Writing.
Sandy Singh 3 years
Pls review
IAS Parliament 3 years
Avoid writing names and include data to support your arguments. Keep Writing.
