Govt gets Rs 60.46-cr tax via TDS on virtual digital assets

New Delhi, December 13

The government on Tuesday said an amount of Rs 60.46 crore has been received in tax from entities for transactions in virtual digital assets (VDAs), including cryptocurrencies, since the introduction of TDS provisions in July.

The government, from April 1, has brought in a 30% income tax plus surcharge and cess on transfer of crypto assets, like bitcoin, ethereum, tether and gogecoin.

Also, to keep a tab on the money trail, a 1% Tax Deducted at Source (TDS) under section 194S of I-T Act has been brought in on payments over Rs 10,000 towards virtual digital currencies from July 1.

In a reply to a question in the Rajya Sabha, MoS (Finance) Pankaj Chaudhary said CBDT conducts awareness programmes for deductors/taxpayers and also takes appropriate action, including search & seizure operations, surveys, enquiries etc, as required.

“Post insertion of Section 194S in the Income-Tax Act, 1961 through Finance Act, 2022, a total of 318 direct tax challans having TDS code 194S have been received having total amount of Rs 60.46 crore,” Chaudhary said.