Key Takeaways:
- Indian Government needs more time to finalize crypto bill as it is a “complex subject”.
- The Government is reworking the crypto bill.
- Major crypto exchanges have been found eluding “massive” GST taxes.
The status of cryptocurrency in India is still undetermined by the government. However, officials have announced that it is a complex subject and, therefore, the crypto bill will require more time. On Wednesday, the Economic Times reported that the bill might not be introduced in the upcoming session of the Parliament.
The bill was earlier supposed to be discussed at the winter session of the Parliament, and the government is reworking it. The government wants to conduct more seminars and construct an agreement on the administrative system of cryptocurrency; the publication informed referring to unnamed government officials who know the matter. A senior finance ministry officer stated to the publication, “The crypto bill may not be introduced in the budget session. It is a complex subject. This will require more time.”
He explained that the government is awaiting technical inputs from the central bank, the Reserve Bank of India (RBI), after the initial launch of its central bank digital currency (CBDC). This digital rupee is expected to be happening in the coming months.
Reserve Bank of India is recommending a complete ban on digital currencies. However, a recent meeting with the central board of director’s India’s central bank said that a partial ban won’t be sufficient. It has been warned that crypto will be posing a significant threat to the Indian economy.
Earlier this week, Indian Prime Minister Narendra Modi called nations for collaborating on crypto to face the challenges put forward by cryptocurrency. However, the Indian crypto industry is currently seeking tax clarity in the Union Budget. After raiding major crypto exchanges, the Directorate General of GST Intelligence (DGGI) has found a “massive” GST tax evasion.
