A cryptocurrency bill is anticipated to be introduced for Cabinet approval before the next Parliament session.

cryptocurrency bill

Once the Union has approved the law outlining crypto legislation, it may be considered for passage during the winter session of Parliament.
A complete measure on cryptocurrencies is likely to be introduced for approval at a Union cabinet meeting before or during the winter session, which begins on November 29.
According to sources, the bill defining the regulation of cryptos, their classification, and the intention to tax earnings from them may be taken up for passage in the winter session of Parliament if it receives Cabinet approval.
Following the formalisation of the aim to tax crypto revenues in legislation, the provisions for implementation are anticipated to be announced in the finance bill during the Budget session, which typically begins in the final week of January.
According to a source, Finance Minister Nirmala Sitharaman’s budget is likely to feature a step that will totally clarify the air on the future of cryptocurrencies in the country.
Top government sources have indicated that, unlike China, India may pursue a medium course, with crypto revenues subject to both direct and indirect taxes.
Despite the government’s silence, cryptos are unlikely to be considered as currency because currency notes and coins are backed by statute and regulated by the RBI in cooperation with the Centre.
The sovereign has backed the Ruppee. It can be controlled at every level.
PM Modi had spoken with key officials about cryptocurrency just five days before.
TAXING CRYPTOS
According to a top government source, legislation on cryptos is in the works, and the essential feature will be that if there is a gain or income from cryptocurrencies, it is likely to be taxed as capital gains and may attract the standard GST, as most services do.
According to Revenue Secretary Tarun Bajaj, “in terms of income tax, some persons are already paying capital gains tax on the income from cryptocurrencies, and in terms of Goods and Services Tax [GST], the legislation is “quite clear” that the rate would be applied like those in the case of other services.”

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