Taxing Virtual Digital Assets:
The Income Tax Bill, 2025 classifies Virtual Digital Assets (VDAs) as property and capital assets, bringing them under capital gains taxation and regulatory scrutiny. The bill imposes a 30% tax on VDA transfers, 1% TDS on transactions, and mandates reporting, ensuring transparency and preventing financial misuse.Virtual Digital Assets (VDAs) refer to digitally represented assets that use blockchain or cryptographic technology for transactions. Defined under Section 2(111) of the Income Tax Bill, 2025, VDAs include cryptocurrencies, NFTs, and similar digital assets.
