Bitcoin to be taxed under GST

     Written by : SMTV24x7 | Sat, Dec 16, 2017, 03:08 PM

Bitcoin to be taxed under GST

New Delhi Dec 16: In a Move to crack the whip on the usage of Bitcoins in India the government is mulling to impose GST on the revenue generated using the trade of bitcoins.Earlier the IT department has conducted a survey at all bitcoin exchanges in the country.

Sources said that current government officials are yet to decide the rate of tax that should be imposed because cryptocurrencies are not officially recognized under any law in the country. The officers are also in a dilemma whether to impose direct tax such as capital gains tax or indirect tax GST because it involves sale and service.

The Development assumes significance because recently the digital cryptocurrency valuation has increased enormously and many people rushed to buy the currency. However, the Government feels that this currency cannot be legalized as it can be used for terror funding and other illegal activities because of anonymity of the user and it is impossible to trace the beneficiary.

However, sources confirmed that tax would be imposed on bitcoins as a high-level committee has been formed by government and report would be submitted in few days.