Today, the Indian Finance Minister Nirmala Sitharaman will propose a Finance Bill that will include amendments to the crypto tax.
As per the official document, the finance minister will pass the appropriation and finance bills for 2022 in the Lok Sabha this evening.
The bill will decide the government’s clear stance over crypto as well as provide amendments to current tax policy by identifying “virtual digital assets” including cryptocurrencies and non-fungible tokens (NFTs).
Last month, Nirmala Sitharaman proposed a 30% tax on digital asset transactions in the Indian Budget 2022 speech.
The minister stated that the proposal was motivated by the fact that losses incurred from cryptocurrency trading would most likely be ineligible for offsetting taxes from any profits. She added that no ease would be allowed while calculating income “except the cost of acquisition.”
As per this taxation policy, traders would have to pay 30% of taxes on profits from cryptocurrencies including Bitcoin and Ether. However, the proposal does not mention any policies accountable for losses on price fall in the cryptocurrencies.
The new proposed bill is a legislative replacement for an earlier proposed bill that called for a ban on “private cryptocurrencies” in India.
