Budget 2022: Transaction in Cryptocurrency to be Taxed at 30%; No deduction Except Cost of Acquisition

Finance Minister Nirmala Sitharaman is presenting her fourth Union Budget in Parliament in a paperless manner, like she did last year. Domestic and foreign investors, as well as other interest groups such as farmers, crypto investors, worried middle class and business organizations, as well as MPs, will be watching the Budget address closely.

The Sensex soared almost 850 points ahead of the Budget presentation. Gains in the IT and financial sectors have fueled the rally. Investors would prioritize clarity on bitcoin, real estate concessions, and the elimination of STT.

Taxation of cryptocurrencies was expected to come in this Budget and Fm Said that the Gift of cryptocurrencies to be taxed at the receiver’s end. Transaction in cryptocurrency, [virtual digital asset] to be taxed at 30%. No other deduction will be allowed except the cost of acquisition. TDS at 1% to be deducted on transaction value.