Blockchain, Blockchain News

Cryptocurrency Bill: Govt working on definition, tax treatment; cabinet nod to be sought soon

The Finance Ministry is racing against the clock to present the proposed bill on cryptocurrency at the Winter Session. This is due to the unregulated growth that many government officials see. It can be seen from the numerous meetings held, including one by Prime Minister NarendraModi.

The Winter Session will likely be held between November 29 and around December 13. One of the issues that must be resolved before that happens is the tax treatment for the sector, moneycontrolhas learned from reliable sources. The sources said that these issues will be resolved soon, and that approval from the cabinet could be requested this month.

“We are currently working on the tax aspects of cryptocurrency regulations. A top government official said that discussions are ongoing at all levels of government, as well with regulators such as the Reserve Bank of India and Securities and Exchange Board of India.

Officials say that how cryptocurrency profits and trade are taxed will depend on the type of cryptocurrency it is. Privately held cryptocurrency will not be permitted as legal tenders. However, they will be considered assets.