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Finance Ministry forms Panel to examine Taxation on Cryptocurrency Trade

Swarna Shukla

Published On: September 22, 2021 at 11:45 IST

The Finance Ministry formed a group to examine the scope of taxation on income made from Cryptocurrency Trading.

Several reports said that the Committee will examine if the income from cryptocurrencies can be taxed as Capital Gains or a new category should be created. 

The Panel will have to submit the report in about four weeks. The said initiative comes at the time when the Government is in the process of formalization of the new Cryptocurrency Bill. 

Concealed as the most important asset class of the 21st Century, more than 1.5 Crore Indians are holding over INR,1500 Crore Crypto assets. 

According to the latest report by Blockchain Data Platform Chain analysis, India currently ranks 11th out of 154 Nations in terms of Cryptocurrency adoption. 

Furthermore, “The Reserve Bank of India (RBI) is also set to launch its first Digital Currency Trial programmes by the end of the year,” according to its Governor Shaktikant Das. 

The Cryptocurrency and Regulation of Official Digital Currency Bill, 2021 was scheduled to be presented in the Budget Session of Parliament in March. However, it was deferred for reasons not made public.

Also Read: CRYPTOCURRENCY: LAWS IN INDIA

Also Read: Legal view on circulation of Cryptocurrency around the world

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CRYPTOCURRENCY: LAWS IN INDIA