Quick Summary
The new Income Tax Bill, 2025, introduced in Parliament by Finance Minister Nirmala Sitharaman on Thursday, has not altered the scope of "virtual digital assets" (VDAs) but has incorporated the definition proposed in the Finance Bill, 2025. Clarification by the Income Tax Department The income tax department, in its newly released Frequently Asked Questions (FAQ) on the Bill, confirmed that there is no change in the scope of virtual digital assets beyond what was already proposed in the Fina
Daily Limit Reached
You have reached your daily limit of 2 Free News
Subscribe to CCI PRO for unlimited access
Why Upgrade to CCI PRO?
- No Ads
- WhatsApp Community
- Daily E-Newsletter
- Unlimited News Access
- Profile Visitors
- Link Social Profiles
- Featured Job Posts
- Pro Badge
- Expert GST Guidance
- Unlimited Forum Replies
- Download Content in PDF
1 Year PLAN
1999
(Excl. of GST ₹359)
BEST VALUE
2 Years PLAN
3499
(Excl. of GST ₹629)
View all CCI PRO benefits
Already a PRO member? Login here for an ad-free experience. 011-411-70713
FAQ :
No, the new Income Tax Bill 2025 has not altered the scope of virtual digital assets beyond what was proposed in the Finance Bill 2025. The Income Tax Department has confirmed this in its recent FAQs.
The Finance Bill 2025 proposed an expanded definition of VDAs to explicitly include crypto assets, defined as any digital representation of value using cryptographically secured distributed ledger technology (DLT) or similar mechanisms.
The expanded definition of virtual digital assets, along with the proposed new crypto asset reporting framework, will take effect from April 1, 2026.
The new Income Tax Bill 2025 expands the definition of 'undisclosed income' for search and seizure proceedings to explicitly include virtual digital assets, aiming to tighten tax enforcement.
The aim is to align India's tax laws with frameworks like the OECD's Crypto-Asset Reporting Framework (CARF), promoting global compliance and strengthening the sector.
CAclubindia
