<p>The announcement made by Nirmala Sitharaman of a 30 per cent tax on digital assets, including cryptocurrency, has sparked the interest of the crypto community, who are wondering if the announcement signifies that cryptocurrencies are now legal.</p>.<p>Purushottam Anand, the founder of blockchain law firm Crypto Legal, <a href="https://economictimes.indiatimes.com/markets/cryptocurrency/budget-2022-did-fm-just-make-cryptocurrencies-legal-by-taxing-it/articleshow/89274527.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst" target="_blank">told</a> <em>The Economic Times</em> that the announcement does not "necessarily and explicitly" legalise cryptocurrencies, citing that income tax is not concerned about the manner or means of the income.</p>.<p>"Looking from a broader context, specific tax provisions for cryptocurrencies are a step towards legalisation," he was quoted as saying, adding that income earned from illegal activities can also be taxed under Income Tax Act. </p>.<p><strong>Also Read — <a href="https://www.deccanherald.com/national/digital-rupee-can-be-exchanged-for-cash-pm-1077373.html" target="_blank">Digital rupee can be exchanged for cash: PM</a></strong></p>.<p>"The right way to look at it is that the government has the right to tax unaccounted money, the same way it has the right to tax gains from crypto - be it legal or illegal," Harry Parikh, Associate partner, BDO India, told the publication.</p>.<p>Parikh told the publication that a simple law can do away with cryptocurrencies, while claiming that the state cannot tax anything illegal, giving weight to argument that cryptocurrencies are now legal.</p>.<p>Edul Patel, co-founder and CEO of Mudrex, told the publication that with the announcements, the government has taken a step towards "full-fledged legalisation" of cryptocurrencies.</p>.<p>"However, the detailed write up that would likely be released in the time to come would clear the air over the entire scenario. It is undoubtedly a very progressive step forward," he was quoted as saying.<br /> </p>.<p><strong>Watch the latest DH Videos here:</strong></p>
<p>The announcement made by Nirmala Sitharaman of a 30 per cent tax on digital assets, including cryptocurrency, has sparked the interest of the crypto community, who are wondering if the announcement signifies that cryptocurrencies are now legal.</p>.<p>Purushottam Anand, the founder of blockchain law firm Crypto Legal, <a href="https://economictimes.indiatimes.com/markets/cryptocurrency/budget-2022-did-fm-just-make-cryptocurrencies-legal-by-taxing-it/articleshow/89274527.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst" target="_blank">told</a> <em>The Economic Times</em> that the announcement does not "necessarily and explicitly" legalise cryptocurrencies, citing that income tax is not concerned about the manner or means of the income.</p>.<p>"Looking from a broader context, specific tax provisions for cryptocurrencies are a step towards legalisation," he was quoted as saying, adding that income earned from illegal activities can also be taxed under Income Tax Act. </p>.<p><strong>Also Read — <a href="https://www.deccanherald.com/national/digital-rupee-can-be-exchanged-for-cash-pm-1077373.html" target="_blank">Digital rupee can be exchanged for cash: PM</a></strong></p>.<p>"The right way to look at it is that the government has the right to tax unaccounted money, the same way it has the right to tax gains from crypto - be it legal or illegal," Harry Parikh, Associate partner, BDO India, told the publication.</p>.<p>Parikh told the publication that a simple law can do away with cryptocurrencies, while claiming that the state cannot tax anything illegal, giving weight to argument that cryptocurrencies are now legal.</p>.<p>Edul Patel, co-founder and CEO of Mudrex, told the publication that with the announcements, the government has taken a step towards "full-fledged legalisation" of cryptocurrencies.</p>.<p>"However, the detailed write up that would likely be released in the time to come would clear the air over the entire scenario. It is undoubtedly a very progressive step forward," he was quoted as saying.<br /> </p>.<p><strong>Watch the latest DH Videos here:</strong></p>
