After the government imposed a tax on crypto in the budget session, the media asked her that when you are charging tax on it, do you consider cryptocurrency as currency?
Then it happened; Finance Minister Nirmala Sitharaman said no, we do not recognize it as a currency; instead, we consider it a virtual digital asset.
Finance Minister Nirmala Sitharaman said that cryptocurrencies are neither illegal nor banned. It’s taxable only on the income earned; other than that, it has no meaning.
The answer is given during the debate on the budget
During the debate on the budget in the Rajya Sabha, the Finance Minister said that the government has only taxed the benefits of cryptocurrency. A tax of 30% was proposed on its uses in the budget. Earlier, RBI Governor Shaktikanta Das had warned investors about this.
Threat to financial stability
Shaktikanta Das said that cryptocurrencies threaten the country’s macroeconomic and financial stability. Although earlier, it was believed that the government would legalize crypto through tax. But now, after the statement of the Reserve Bank, this matter is over.
Government and Reserve Bank have the same opinion. The gov. and the Reserve Bank have given their verdict on crypto in one voice. However, Sitharaman said that a bill would be brought to regulate crypto. It was supposed to be brought up in the last session itself. But it is not known when it will be obtained.
Number of Investors Increased on Cryptocurrency
Shaktikanta Das has already taken a tough stand on crypto. They say that the number of crypto investors in India has deliberately increased; it is part of their marketing to join it. Sitharaman said that the decision on digital currency would be taken based on the advice of all the parties.
We will decide after consultation
Sitharaman said that whether to ban it will be decided when I get that kind of advice. In his statement, Congress leader Shakti Singh Gohil said that you could tax anything if it is not legal. The tax means that cryptocurrencies are becoming legal.
Will not get any concession on Cryptocurrency
It was said in the budget that there would be no concession on the gains made from cryptocurrency, and there would be a direct tax of 30%. Nor can its loss be shown in the next year. 100% of the loss will be from the investors, while 30% of the profit will be from the government.
Published by Aashay Bhujbal
Edited by- Kritika Kashyap
