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India Bans Offsetting Loss On One Crypto With Gain From Another

India Bans Offsetting Loss On One Crypto With Gain From Another

NDTV
Monday, March 21, 2022 7:39 PM GMT

The government won't allow tax breaks on infrastructure cost incurred while mining of crypto assets as it won't be treated as cost of acquisition

The government has tightened norms for crypto by disallowing losses incurred in a particular digital asset to be set off against income from another version of a crypto holding, junior finance minister said on Monday.   

The government won't allow tax breaks on infrastructure cost incurred while mining of crypto assets as it won't be treated as cost of acquisition, Minister of State for Finance Pankaj Chaudhary told lawmakers in parliament.

The clarification by the minister is a further set back to an industry that was slapped with a steep tax rate in the budget unveiled last month. The RBI and the government are skeptical about the sector despite a rise in trading volumes as it fears digital currencies can be used for money laundering, terrorist financing and price volatility.

Read full story on NDTV
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