Lagatar24 Desk
New Delhi, Mar 26: The planned tax on virtual digital assets (VDAs) or ‘crypto tax’ in the Union Budget 2022-23 is poised to take effect on April 1, after the Lok Sabha cleared the Finance Bill 2022 on Friday.
The Lok Sabha also approved amendments to the Finance Bill, 2022, that clarified the taxation of virtual digital assets.
The Bill’s section 115BBH deals with taxes on virtual digital assets. Clause (2)(b) prohibits losses on crypto asset trading from being deducted from income under ‘any other provision’ of the IT Act.
The term ‘other’ has been removed from the amendment. Losses from crypto assets cannot be offset against gains in crypto assets under the modified law.
