India plans to impose a 30% tax on income from sales of non-fungible tokens (NFTs) and crypto, TechCrunch reports, citing Indian finance minister Nirmala Sitharaman. The official added that gift in the form of a virtual digital asset is also proposed to be taxed "at the hand of the recipient."
No deduction in respect of any expenditure or allowance shall be allowed while computing such income except cost of acquisition. Further, loss from transfer of digital asset cannot be set off against any other income.
While details of the regulatory framework are yet to be discussed as the regulatory body is currently "collecting inputs for regulation," India also plans to launch its own central bank digital currency (CBDC) next year, Sitharaman said.
She also noted that the government-ruled digital currency will give a "big boost to digital economy," leading to a more "efficient and cheaper currency management system."
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Earlier, To The Moon reported that India's short-video platform Chingari is set to launch its own social taken — GARI. The token — which is based on the Solana blockchain — is expected to give creators a tool to set up their own e-commerce spaces or even create an NFT. Users will also be able to fund their favorite artists with the token.