On Tuesday, Finance Minister Nirmala Sitharaman unveiled the Annual Union Budget 2022-23 in the Parliament which aims to boost growth and trade activities in India. Through this meeting, the Government has decided to increase the 30% tax on digital currencies like cryptocurrency and NFTs.
The decision was taken when the purchase of digital currencies are trending in India. However, Crypto was banned in India 4 years ago and is considered an illegal currency. But somehow, the Govt took the step and resume it in 2020, and now millions of people are investing in it, including the developers and investors.
After 2 years, Government saw a hike in crypto investment, so the official parties decided to put some tax to make it official. Moreover, talking about the business and tech-focused budget 2022, Finance Minister Nirmala Sitharaman said,
“There has been a phenomenal increase in transactions in virtual digital assets. The magnitude and frequency of these transactions have made it imperative to provide for a specific tax regime.”
How Industry Professionals Reacted to Newly Imposed Tax on Digital Currencies
Also, the Co-founder and Chief Executive Officer of Crypto Exchange Platform in Singapore, Darshan Bathija said that,
“Imposing the tax rate makes crypto trading official now and any concern of a ban is off the table,”
During the meeting in Parliament, Finance Minister announced that they will be launching a digital rupee very soon which will be cheaper than any digital currency.
“Today’s announcement on tax on crypto income is a great move forward by India for 3 reasons – firstly, this move recognizes crypto as a legitimate asset class and crypto trading as a legitimate activity. Secondly, clarity on tax will bring more people into the crypto industry, so it will boost industry growth. Thirdly, a well-regulated crypto eco-system will create the right environment for innovation. That said, I would indeed wish for one change – to be able to carry forward losses into the next tax year. Crypto is inherently volatile & this will help investors.”
While discussing the new budget 2022, Founder and Executive Chairman of Bridgeweave said,
“This has been a much-awaited announcement in the context of the interest and growth in investments into these assets. The uncertainty and concerns on the legal, regulatory and taxation status of cryptocurrencies are addressed to a reasonable extent by virtue of this announcement.”
Indian Media are Tweeting on Budget 2022
Twitter is Flooded with Hilarious Memes as the Indian Government Announced Budget 2022
Right after Nirmala Sitharaman’s speech, Twitter is flooded with hilarious jokes and memes on the Middle class especially as the people were waiting for some relief through budget but the announcement left the people disappointed as there is no tax concession for salaried class.