opinion/op-ed/taxing- cryptocurrency-transactions/ article38279469.ece
- In the intro, mention that the Income Tax Act, 1961 (“IT Act”) does not specifically mention cryptocurrencies, it does cast a wide enough net to bring crypto transactions under its ambit. .
- In the body, mention challenges such as scope for varied interpretation and uncertainty in the absence of explicit tax provisions, issues in identifying the tax jurisdiction, anonymity of the taxpayer in crypto-transaction, lack of information about third party etc. In the suggestion mention explicit statutory provision, having separate mandatory disclosure requirements in tax returns on the taxpayers as well as all the intermediaries involved, strengthening existing international legal framework etc.
- Conclude by mentioning that a streamlined tax regime will be essential in the formulation of a clear, constructive and adaptive regulatory environment for cryptocurrencies.