Finance Minister Nirmala Sitharaman on Tuesday announced that the Reserve Bank of India (RBI) would introduce its digital currency in the new financial year.
To boost the Indian economy, Bloomberg Reports, the Reserved Bank of India (RBI) will be issuing a digital rupee using blockchain and other technologies in the Financial Year 2022-23, Finance Minister Nirmala Sitharaman told the Parliament on Tuesday.
Nirmala Sitharaman said:
“It is, therefore, proposed to introduce digital rupee using blockchain and other technology to be issued by the Reserve Bank of India starting, 2022-2023.
The introduction of a digital rupee using blockchain technology will help in reducing the financial and physical efforts required for money management.
The central bank is weighing many factors related to the planned CBDC’s scope and regulatory structure, which would likely coexist with cash and digital payment methods.”
Digital Rupee (CBDC) using Blockchain & other tech to be issued by RBI in 2022-23.
– FM, Budget 2022 pic.twitter.com/6QHHlGyNQV
— Crypto India ? (@CryptooIndia) February 1, 2022
Cryptocurrency will be taxed.
On Tuesday, Finance Minister Nirmala Sitharaman proposed tax gains from the transfer of virtual assets at a flat rate of 30 percent in her Budget speech. She suggested that no deduction would be allowed on these gains. The loss arising from the sale of the virtual assets cannot be set off against any other income, the government cleared. Also, gifting of crypto tokens and virtual assets would be taxed at the hands of the recipient.
“I propose to provide that any income from transfer of any virtual digital asset shall be taxed at the rate of 30 percent. No deduction in respect of any expenditure or allowance shall be allowed while computing such income, except the cost of acquisition,”
-Digital assets will be taxed at 30%
-No deduction to be allowed except cost of acquisition.
-Loss from sale of digital assets can be set off only against the gains from sale of virtual digital assets.
-Gift to be taxed in the hands of the recipient.
-Payment TDS rate 1%– FM pic.twitter.com/K08QJZTVwC
— Crypto India ? (@CryptooIndia) February 1, 2022
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