Taxmann's Budget Guide 2022-23

S E T A R X A T

E G A P

e g r a h c r u S f o s e t a R

TAXATION OF VIRTUAL DIGITAL ASSET

n o i t c u d o r t n I

] H B B 5 1 1 ] ) n o i t c e S [ s n i t a e s G s l A a t l i a p t i a g C i D d l a a e u H t r e i h V t f r o e n d o n i u t a n c o fi i i t s a s x a a l C T ( 2 n o i t c e S [ t e s s A l a t i g i D l a u t r i V f o g n i n a e M

e m o c n I s s e n i s u B d a e H e h t r e d n u n o i t a x a T

] ) ( ) 2 ( 6 5 n o i t c e S [ s e c r u o S r e h t o f o d a e H e h t r e d n u n o i t a x a T

s e s s o L f o t n e m t a e r T

s n o i t a r t s u l l I

] S 4 9 1 n o i t c e S [ e c r u o S t a x a T f o n o i t c u d e D

e l p m a x E e v i s n e h e r p m o C

I-5

19

2.9

TAX RATES RECKONER s e t a R x a T

23

2.10

18

2.8

14

x

2.6

11 2.4

16

2.7

13 2.5

10 2.3

47A

10 2.2

6 1.2

I-13 Income-tax Proposed Amendments at a Glance

9 2.1

3 1.1

5

Contents DIVISION 1

DIRECT TAX LAWS

1

2

E G A P

3.1

f o I I I t r a P f o A h p a r g a r a P o t o s i v o r P [ s n i a G l a t i p a C m r e T g ] nl e ou Ld e nh oc eS gt r s a r hi cF r e uh St

25 3.2

n o i t c u d o r P r o g n i r u t c a f u n a M f o t n e m e c n e m m o C r o f e t a B DA tB e 5 s n1 u1 Sn o fi o t c ne oS i s r ne ed t x n Eu D B B 5 1 1 n o i t c e S r e d n u e m o c n I d n e d i v i D n o n o i t a x a T f o e t a R l a i c e p S f o l a w a r d h t i W

CHARITABLE AND RELIGIOUS TRUST n o i t c u d o r t n I

o t t n e m e r i u q e R

] A 2 1 n o i ) t c e S [ t n u o c c a f o s k o o b n i a t n i a m ( 0 1 n o i t c e s r e d n u d e w o l l a s n o i t p m e x e f o t s i L

s n o s r e p d e fi i c e p s r o e e t s u r t o t s t fi e n e b e l b a n o s a e r n u g n] i E s s A a A p1 r7 o2 f n yo t i l t a c ne eS P[ l a v o r p p a r o n o i t a r t s i g e r f o n o i t a l l e c n a c e h t r o f s n o i s i v o r P

e m o c n I d e t a l u m u c c A d e s i l i t u n U f o y t i l i b a x a T f o r a e Y

n o i t u t i t s n I ) ( 0 1 n o i t c e S o t d e d n e t x E s n o i s i v o r P n o i t a l u m u c c A

r e d n u d e v o r p p a s n o i t u t i t s n i o t d e d n e t x e e m o c n i d e t e r c c a) f o ( s0 n1 on i s o i i v t oc re Ps

n o i t p m e x e )

49

( 0 1 n s o n i t o c e i t s a u g t n s i i m n i a i a l t c r e n c o n i t i u s t t i s t s u n r i t y f b o g e n m i l o fi c n n i r f u o t e n r o y t i r a o t t u a d p n m a o M C

s t s u r t f o e m o c n i n i a t r e c f o n o i t a x a t r o f e t a r l a i c e p S

n o i t a l o i v n i d e i l p p a e m o c n i r o f y l n o d e i n e d e b o t n o i t p m e x E

s n o i t u t i t s n i s u o i g i l e r f o r i a p e r d n a n o i t a v o n e r r o f s n o i t u b i r t n o c y r a t n u l o V

s i s a b t n e m y a p n o d e w o l l a e b o t e m o c n i f o n o i t a c i l p p A

)

55 ( 0 1 n o i t c e s r e d n u y t i r o h t u a d e b i r c s e r p o t e c n e r e f e R

)

( 0 1 n o i t c e S . v 2 1 / 1 1 n o i t c e S

] ) 1 ( 7 3 n o i t c e s o t ) 3 (

INCOME FROM BUSINESS OR PROFESSION

[ w a L y b d e t i b i h o r p s e s n e p x e f o e c n a w o l l a s i D

] ) ( ) ( 0 4 n o i t c e S [ s s e C d n a e g r a h c r u S r o f n o i t c u d e d n o N

62

a ii

5.2

e m o c n i t p m e x e f o e c n e s b a n i n e v e e d a m e b n a c A 4 1 n o i t c e s r e d n u e c n a w o l l a s i D

60

Explanation

5.1

55

23C

4.16

54 4.14

52 4.12

23C

4.15

53 4.13

51 4.11

s e i t e i c o S e v i t a r e p o o c r o f e t a r ) T M A ( x a T m u m i n i M e t a n r e t l A n i n o i t c u d e R

23C

49 4.10

38 23C

4.7

23C

4.9

44 4.8

37 4.6

32 4.3

33 4.5

32 4.4

31 23C

4.2

28 3.4

30 4.1

29 3.5

27 3.3

S T N E T N O C

I-6

3

CHANGE IN TAX RATES

26

4

5

S T N E T N O C

E G A P

s e r u t n e b e d o t n i t s e r e t n i f o n o i s r e v n o c n o n o i t c u d e d o N ] 5 3 n o i t c e S [ r o n o d o t n o i t c u d e d f o e c n a w o l l a s i D

INCOME UNDER THE HEAD CAPITAL GAINS l l i w d e o l o a S g o p t m n u o l i t S a f e l o r n n o i i t 0 i 5 n fi n e o d t i e c e h s t o t o t t n t n e e m m d d n n e e m m a a l a l a i i t t n n e e u u q q e s e s n n o o C C g n i p p i r t s d n e d i v i d d n a g n i p p i r t s s u n o b f o e p o c s g n i d n a p x E

INTERNATIONAL FINANCIAL SERVICES CENTRE C S F I h g u o r h t d e t a l u g e R S F I A m o r f s d n u f f o t p i e c e R

g n i s a e L m o r F e m o c n I o t ) ( 0 1 n o i t c e S d n a A L 0 8 n o i t c e Ss fp o i sh t S fi ef no er e bf gs nn i a d r nT ed t x n Ea

e v i t a v i r e d e r o h s f f o f o r e f s n a r t m os re f v i t ea mv i or ce nd i r e ot t n u no oc i te p h mt er xe ev o f/ os t nn oe i m s nu et r t s x n Ei ] ) ( 0 1 n o i t c e S [ C S F I m o r f s t n e d i s e r n o n o t s e c i v r e s o i l o f t r o p r o f n o i t p m e x E

DEDUCTIONS AND EXEMPTIONS

] D C C 0 8 n o i t c e S [ S P N o t n o i t u b i r t n o c r o f n o i t c u d e D

D D 0 8 n o i t c e s f o s n o i s i v o r p f o n o i t a s i l a n o i t a R

n o i t a s n e p m o C d e t a l e R D I V O C r o f f e i l e r x a T

C A I 0 8 n o i t c e s r e d n u n o i t c u d e d r o f p u t r a t s f o n o i t a r o p r o c n i r o f n o i s n e t x E r a e y 1

) ( 0 1 d n a )

( 0 1 , )

( 0 1 , ) ( 0 1 n o i t c e s r e d n u n o i t p m e x E f o l a w a r d h t i W

CARRY FORWARD AND SET-OFF LOSSES

] 9 7 n o i t c e S [ t n e m t s e v n i s i D c i g e t a r t S o t e u D g n i d l o h e r a h S n i e g n a h C

n o i t c e S [ h c r a e s g n i r u d d e r e v o c s i d e m o c n i d e s o l c s i d n u t s n i a g a s s o l f o f f o t e ] s A o9 N7

s t e s s A l a t i g i D l a u t r i V f o r e f s n a r T m o r F s e s s o L

UNDISCLOSED OR UNEXPLAINED INCOME

] 8 6 n o i t c e S [ e m o c n i f o e c r u o s n i a l p x e l l a h s g n i w o r r o b r o n a o l g n i v i g n o s r e P

86

10.1

85

9.3.

83 9.2.

8A 8 8.5

82 9.1.

79 8B

9

78 8.4

75 8.2

72 7.3

77 8.3

74 8.1

4F

71 7.2

73 4G

7.4

69 6.3

71 7.1

68 6.2

66 5.4

67 6.1

64 5.3

I-7

6

7

8

9

10

E G A P

11.3

l a t i g i d l a u t r i v f o r e f s n a r t r o f n o i t a r e d i s n o C m o r f e c r u o s ] tS a 4 x9 a1 t fn o o i t nc oe i S t[ c ut e ds es Da

91 11.4

n o i t c e S [ n r u t e r f o s r e l fi n o n f o e s a c n i s n o i s i v o r p S] CA TC /C S6 D0 T2 n fo o i t nc oe i ts a d s n i l a a nB oA i t 6 a 0 R2 5 9 1 n o i t c e s r e d n u d e t c u d e d x a t f o d n u f e r T E G o t O A h c a o r p p a n a c e e s s e s s A

r e d r o S ’ O A h t i w e c n a d r o c c A n i d i a p e b l l a h s t l u a f e d S C T r o S D T r o f t s e r e t n I

RETURN OF INCOME

x a T e m o c n I l a n o i t i d d A f o t n e m y a P n o n r u t e R d e t a d p U f o g n i l i F

r e d n U s e e F g n i l i F e t a L g n i s o p m I t o N r o F s r e d r O e u s] s 9 I 1 o1 t n do et i r c e e wS o[ pF m4 3 E2 sn i o Ti t Dc Be CS s m l i F h p a r g o t a m e n i C f O s r e c u d o r P n O d e t s a C n o i t a g i l b O g n i t r o p e R

ASSESSMENT

t n e m s s e s s a e r d n a t n e m s s e s s a o t g n i t a l e r s n o i s i v o r p n i e g n a h C

d e n i l m a e r t s t n e m s s e s s A s s e l e c a F f o s s e c o r p e h T

e m i g e R s s e l e c a F g n i t n e m e l p m i r o f s n o i t c e r i d e u s s i o t t i m i l e m i t n i n o i s n e t x E

APPEALS AND DISPUTE RESOLUTION

] B A 8 5 1 n o i t c e S d n a A A 8 5 1 n o i t c e S [ l a e p p a e v i t i t e p e r f o e c n a d i o v a r o f n o i s i v o r P

n o i s i v e r r o f d e r e w o p m e s i g n i c i r p r e f s n a r t f o n o i t c i d s i r uO j gP nT i y v ab hd re e s ns a op i s s r i e md r mo of Co

] A M 5 4 2 n o i t c e S [ C R D f o r e d r o o t t c e f f e e v i g o t O A f o r e w o P

126

14.3

125 14.2

118 13.2

122 14.1

120 13.3

111 13.1

110 12.3

109 12.2

95 11.6

97 12.1

93 11.5

90 11.2

r e d n U S D T r o f d e r e d i s n o c e b ] o R t 4 y 9 t 1 r e n p o o i t r c e p e S l [ b e a t i v s o i u q m r m e i P f d o n a e u l s a t fi A I e vn y4 e t9 B u1 d n n o pi o mt S a c D t e T S S

TDS/TCS

88

92

11.1

S T N E T N O C

I-8

11

12

13

14

15

15.1

d n a 0 7 1 n o i t c e S [ y t i t n e r o s s e c e d e r p n o d e t e l p m o c s g n i d e e c o r p ] fA o 0 n7 o1 i n t a o i dt i c l a e VS

127

15.2

n o i t a d i u q i l n i t o n s i y n a p m o c e t a v i r p a f i n e v e s r o t c e r i d m o r f x a t ] f9 o 7 y1 r n e o vt i oc ce eS R[

LIABILITY IN SPECIAL CASES

129

S T N E T N O C

E G A P

16.1

s t n e m e r i u q e r y r o t u t a t s e h t h t i w y l p m o c o t e r u l i a f r o f A 2 7 2 n o i t c e s r e d nd ue ys t a l e a r nc en Pi

131 16.2

, B A A 1 7 2 s n o i t c e s r e d n u s e i t l a n e p y v e l o t d e r e w o p m e s i ) s l a eD pA pA A1 (7 r2 e nd on i a s s C i mA A m1 o7 C2 B A 6 7 2 n o i t c e S r e d n u e s u a l C t e s n u S f o n o i t r e s n I

C 1 7 2 d n a B 6 7 2 s n o i t c e s o t s t n e m d n e m a l a i t n e u q e s n o C

A A 8 7 2 d n a A 8 7 2 s n o i t c e s f o t i b m a e h t r e d n u B B 6 7 2 n o i t c e s f o n o i s u l c n I

AMENDMENTS PROPOSED UNDER THE GST LAW

C T I d e l i a v a y l g n o r w n o t s e r e t n i o t g n i t a l e r t n e m d n e m a e v i t c e p s o r t e R

d e s o p o r p s n o i t c i r t s e r o t g n i t a l e r ) 2 ( 6 1 s / u C T I g n i l i a v a r o f n o i t 8 i 3 d nn oo ct i lc a ne oS i r t e i d d dn Au

s e s a c d e fi i c e p s n i d e t c i r ) t 4 s ( e 6 r e 1 b n d o l i u t c o e w S C r T e I d ; n h t u i w C y T a I l w i a a e v n a o o d t t n i e m e i b l s e a m h i 2 t n R i T n S i o G s n m e r t o x F E s i s a b l a n o i s i v o r p f o d a e t s n i s i s a b t n e m s s e s s a f l e s n o C T I f o t n e m l i a v A

1 R T S G m r o F f o g n i h s i n r u f o t g n i t a l e r s t n e m d n e m A

d o i r e p e s h e t t r o o N f t d B i e 3 d l e fi R r t T C o f n S o 1 G s l m i R r a T o t e S F G n d g f i n i n t i B o r i o 3 s s p R i e T m r S o r o G r f t m o i s r r m o o l r i F r e e e l m f i fi t o o f n t o o n i n o t a i o t c s i c fi i n i r t t e c s t e e x R R E

n o i t a r t s i g e r f o n o i s n e p s u s r o n o i t a l l e c n a c o t d e t a l e r t n e m d n e m A

e m e h c S P M R Q f o d o h t e m m u s d e x fi r e d n u x a t f o t n e me t yu at pa rt oS f n i nd oe i s d i u v l oc rn Pi

8 h t R n o T m S t G n e m u r q o e F s n b i x u n a s r t f u f t o o e h R t t n 0 e S 2 C m f T y o a d n p r a u f e t o t e s s n r n i f o h o i t g s i 3 v n 1 i o l r y fi p b d e 5 e h y t R a o T l S e t d g G n n i m o a t r e l o e e F f r e t e t n l a e fi o L m f t d o P y n e T v R e m N L A

8 R T S G m r o F n i n o i s s i m o r o s r o r r e y f i t c e r o t d e d n e t x e t i m i l e m i T

s r a e y 2 o t d e d n e t x e s e i t i t n e N I U y b d n u f e r r o f t i m i l e m i T

s e i l p p u s f o t c e p s e r n i d n u f e r r o f d o i r e p n o i t a t i m i l r ge np i o tl u e pv me D o/ ct ri on f U eZ t a E dS to n at ve ed l a e Rm

152

17.17

150

17.14

151

17.16

150

17.13

150

17.15

149

17.12

147 17.9

149 17.11

146 17.8

148 17.10

144 17.6

142 17.4

146 17.7

143 17.5

141 17.3

140 17.2

134 16.4

139 17.1

135 16.5

133 16.3

I-9

16

PENALTIES AND PROSECUTIONS

132

DIVISION 2

INDIRECT TAX LAWS

17

E G A P

f o n o i t c u d o r l p o h g n o i c r l u A d r o d f e t t a n r e e m n e n g r e e v t o s a G w e t d a e t d S n y e b t n d i e n t U n a tl i r n o eh g s ms e d fi e nr f o e ef s mt n ap e e c ec i vx l i t e n c el o pa T se S om G r t h o e s N R fi s n o i s i v o r P r e n o i t i t c a r P T S G n i t n e m d n e m A

t n e r r u c n o c g n s i r s i e c c r fi e f x O e r e & p o r s r e P c f fi o f s o r r e e w p o o p r f p o o e t p s o n c o s i t d c n n a u n f o gs i t nn i i o n i fi n t g e i c d s n s u e a f h r t d on n f i a as e i g r r e n e tw a i h r o C Cp r e n c o fi i f t o a u r l e a p v o r r e p d e n m u c a i s t e a h m t e y s t b y d s e f s o s e e s c s a a n e e r m e e b l k n c a a c t s o m t o n t o s i s u i C v o r r e d p n g n u i l s b e a s n a C E r e t p a h C s g n i l u R e c n a v d A r e d n u d e s o p o r p s e g n a h C a t a d d e t a l e r t r o p x e d n a t r o p m i f o n o i t c e t o r P

AMENDMENTS PROPOSED UNDER THE GST LAW

t s e e y c s s t v i e e i u t l j w D c n o r e r u e f s P , h f 2 m t E d 2 o ( o n 0 s t y a 2 s s t . e u s u 2 l d C 0 n D . o u 2 s c o , 0 i m 2 G s 2 a m o l 0 t B a o s 2 t r . i u f 5 f p o C ) 0 a e . d c v s 1 C i i e e 0 t s t o fi c a a i t m e c B r f d o e f e r e e p E f v b v s ( i e i i t t r e ) y v c c c s d t i e t i e s u e f f c w e e f fi f D r e r i e f p c e s f ne nh E m i D p t ( i es o o C e g t e l e s B s ns u gs u a n i d f e C o hw al e cr hn h c s u i e c c t e s u t h , S a 2 a h t o t B r ho t2 s i r 0 l t r s w i a 2 i o F . ws n e f 2 s o o s) sl e 0 n t i . d e e s ge gu g2 d s e n fi n , n 0 e d c ai a2 a h m c 2 d n he h0 Co a o Cp C. 2 r s c s ef e ee e 5 t i t t e r ) f 0 a o a a s . d v t s Ri R1 Ri n e wt t r fi e Ei c fw f0 fe r o f f f ip m c v e i i i f we r r r h a f o a a t E ep em r T To Tf ( Ns RI

s s i d s o a o b g e n d o e l a fi i c d e n p a s s t w n e o f n d e o u D s s C i B s n f o o i t e p t a m r e l x a n e o t y i s u s d e c s n m o o c t f s o u l C a w f a o r w d e h v i t i e W R

f o ) A 4 ( 5 2 n o i t c e S [ s n o i t a c fi i t o n e n o l a d n a t s n i a t r e c n i e] t 2 a 6 d9 1 d nt , Ec A gs nm i d o i t v os ru PC

g hd t n e l fi i a r i ec u he t c /p a s s f e t u s a s n r e a l yn m t u u d d, e 2 s2 s a m0 h 2 o. ps t 2 rd s. o u e o c2 dg c m nc i ui s o a r n so bf e r t t t ec a v c i r e e t f yl f e ce e t u c fh f d fi e t i ni sc w me i[ s p e os s t g s o n n ut o i ct at h c a cc ce i g p s fi s ni a e i t br v o l n eh o vt ve i i nv t w i c i e] l st f P ac f e e s m p os nP p ] [ i e oes s rri m e p n w ga r i r nr e g e sh ao hs hr t eo t Oc Cp

244

19.10

s r e t r o p x E

246

y b d e t r o p m i n e h w s m e t i d e fi i c e p s n o s n o i s s e c n o c y t u D

bona fide

19.11

241

19.9

224 19.5

239 19.8

223 19.4

236 19.7

207 19.3

229 19.6

163 19.2

158 18.5

161 19.1

160 18.6

158 18.4

157 18.3

156 18.2

153 17.19

154 18.1

153 17.20

152 17.18

S T N E T N O C

I-10

18

AMENDMENTS PROPOSED UNDER THE CUSTOMS LAWS

19

S T N E T N O C

E G A P

n o n o i s s e c n o c g n i d i v o r p s n o i t a c fi i t o n s u o i r a v n i s e g n a h c s u o e n a l l e c s i mt s r ro e hp t m Oi

g n i d n e m a y b s e g n a h c l a c i n h c e t / n o i t a c fi i r a l c n i a t r e c g7 1 n0 i d 2 u/ l 0 c 5 n. i o sN e gn no ai t ha cc i rf e i t ho t ON s e r u s a e m d r a u g e f a S / ) D V C ( y t u D g n i l i a v r e t n u o C / ) D D A ( y t u D g n i p m u D i t n A

t c e f f e h t i w [ s m o t s u C 1 1 0 2 / 7 2 . o N n o i t a c fi i t o N n i s e t a r y t u d t r ] o2 p2 x0 E2 . n2 i 0 . s2 e g0 nm ao hr Cf 7 1 0 2 , s e l u R R C G I n i s t n e m d n e m A

e s i c x E l a r t n e C n o i t a l e r n i s t n e m d n e m A

UNION BUDGET 2022-23: FM PROPOSES TO INTRODUCE INDIA’S OWN DIGITAL CURRENCY 4 3 9 1 s , e t t c o A n I k B n R a f b o f 2 o n m o r i o t c f e l a S t i n g i i ’ d e t o o t n s k n o n i a i s b v ‘ o f r o p n n o i i a t i t n r fi e e c d f o w y e i t n i l a b a f c o i l n p o p i a t r e n s o n N I

258 20.2

s m e t i s u o i r a v n o ) S W S ( e g r a h c r u S e r a f l e W l a i c o S f o y v e l f o w e i v e R

257 20.1

252 19.18

251 19.16

251 19.17

250 19.15

249 19.14

248 19.13

247 19.12

I-11

DIVISION 3

MISCELLANEOUS

20

,h i 9 0s 0t o 2a nS i t e k r a e h mt eg hn t i s tu i h p ou t o yr cg nr eo r n r uo s cr oe t p p ya r y c tb s d r i e f t n ee hv t n si a s wa nw i t o i cd t n i B a

,s ,) d e i ePc hRn cXe n( r uer l ap u l c p ei o r t Rp e ,y wh r sc sa e 0 i 0 c n C 0 ni , o ec 8 r n t r i a uB h ce t or e t ar p yso e r m i c , e nt l C a e a r r e r m vut i ecs s re ,a t n l a u a hp r t e rop p e es t f A Ah. t c f .o t o e t e, o n i mmo aoc s kd e t an i Na L .

2 2 0 2 y r a u n a J f o s a t s i x e

se ’ h a t i d r ne I v ,o Xh rt i z w ao r Wg l da nt i an e mn o op cx s s e an e e y N s bs ya dh t ue tk s r ta n em cy ec r n e er hr t u c ro e t pp y sr Ac n i s n a i d n I y b t n e m t s e v n i e h t t a h t d e t c e p x e s i t I . s r a e y w e f t s a p

, y l t n e r r . uy l l a . C b 0 o 3l 0g 2s r ye bn nw oo i l l o i t mp y 1r 4c 2f $o hr ce ub om t u dn l t u s oe ch g yi ch ne eh r t r us ca oh t a p i yd r n CI

s t i b i h o r p r o , s e t a l u g e r , s n r e v o g n o i t a l s i g e l o n , y l t n e r r u C

l a g e l l i t o n s i t i , e r o f e r e h T . a i d n I n i s e i c n e r r u c o t p y r c n i g n i l a e d

y n a p u t e s r o s e i c n e r r u c o t p y r c e n i m r o l a e d , e s a h c r u p , l l e s o t

t da eh t t a i s c n oo s i s t a a l su k c s i e r p es he t r ge nw i r e e r de i s h t n, os e i . C c a i n d e nr r I nu i c eo gt np y ar hc cn xi et yn ce nm et r s r e uv cn oi t p h t yi r w c

t n e m a i l r a P f o n o i s s e S r e t n i W e h t n i d e c u d o r t n i e b d l u o c l l i b a

t o n s a w l l i b e h t , r e v e w o H . s e i c n e r r u c o t p y r e C t a l u g ed . r e rc ou nd ao bt r on t i

t a h t d n a t s s t i d e r a e l c s a h . t v o G e h t 2 2 0 2 t e g d u B n o i n U e h t n i w o N

se e h i t c nn ei r d r e us co op t o p r yp r n e n C e i gb ne i l v a a eh ds mn o oi rs f i sv no r ap i d s nu I o t i i b r i a h V o. rt pi e ot t a gl nu i g o e gr to o t nt su i t b i

sl e Tb Fa c i , N l s p e p i c na e er r r a us cn oo t i p s yv i r c o r np i s t e n s ee mh tT s . e s t ve ns i s ea t a l l a u t i gg ei r d ol t a t c u t Ar xi av t r e e h mt oo cr no I

9

sset A

igital S D E T A R X irtual A V T f o n o axati T

CHAPTER

Taxation of Virtual Digital Asset

2

9

2.1. Introduction

alias

sset A

w e n r e p s a e l b a x a. t 2 2 e0 b2 l, l l a l hi sB 2e 2c 0n 2a n 4 i 0F 1 e 0h t ry e t b f a d e rs oo np oo r sp t e s s n s a o i li s a t v i o g r i d p

n a e d i v o r p o t 2 n o i t c e S n i d e t r e s n i n e e b s a h ) A 7 4 ( e s u a l c w e n A . t e s s A l a t i g i D l a u t r i V f o g n i n a e m e v i s u l c x e : s n a e m t I

g n i e b t o n ( n e k o t r o r e b m u n r o e d o c r o n o i t a m r o f n i y n A ) (

, hd ge l ul oa rc he t m da en t a r r e e v nt e ea gh ,w ) y y cb n, ee r s r i uw cr e nh gt i o e r r oo f s rn oa ye cm ni c eh r p r a ur cg nt o ap i d y r nc I hn t o i i t wa t dn ee gs ne ar hp ce xr r eo ee us l i a vm o fr o p ne oh i tt a h t t i n ew s , e n r o pt i ea r r le a d t i i s g n i d o c at gu no i h d t i i v ow rr po

r o e u l a v f o e r o t s a s a s n o i t c n u f r o , e u l a v t n e r e h n i g n i v a h f o

; ce am s e nh ac r s t lt a n i e c nm at s ne fiv yn ni ao nt i d ee s t i um si t l i t go nn i d t uu l b c , nt i n te n um t os ce cv an fi o r to i n n uo i at ; y l l a c i n o r t c e l e d e d a r t r o d e r o t s , d e r r e f s n a r t e b n a c d n a

r a l i m i s f o n e k o t r e h t o y n a r o ) T F N ( n e k o T e l b i g n u f n o N ) ( ; d e l l a c e m a n r e v e t a h w y b , e r u t a n b

igital D

l a u t r i v a f o r e f s n a r t y n a , s u h T .

4 2 3 2 0 2 r a e y t n e m s s e s s a e h t m o r f a

Meaning of Virtual Digital Asset [Section 2(47A)] 2.2.

irtual V f o n o axati T

10

-

a y b n , y a a e m m t n l l e a m h n s r . e t y vf e oi s s Gc a e lp a s l r a t e t n t i t ee g z i a d e C hG l t a l sa u i a t c r , fi t i e v f s s e a e Oh lh a t t t i , n s g i i d d n r o o ri e ht w a t c o e fi l i yt p no An m i s ) ( n I c

dT eT i f i t . y O o c nnt e sa, a os ttm e sr s n o s of a i t ta lp a l i t p r i c g e i s c d br lue a sm ur t m e r i v o v oc rce e t, ho s t nn o o nli l ai t a rwc oI tl i Tt p .p Fv oa e Gl , N y i lb ca nr o et r nm r , uem c r o e C o t hf p t t yy a r l bp c

la l a i u c t i r f i f v a e O f ho t n ni o i t i nn of i i t e a d ce i f h i t t o nm o yr bf t ,e y s as a ml a tt n i g ei md ny rn e a ve od Gu l lc a x r e t n , e et t e z e C ha TG

d e i f i c e p s e b y a m s a s n o i t i d n o c h c u s o t t c e j b u s t e s s a l a t i g i d

.a l t v t i og Gi lD a k r t n n a eB l e C a ht r t n oe t n e r C vo i g y c nn ee er br eu vc al ha t ti h g i gd i mt s si r r f. e s) w’ aC oi D pd hnB cIC ue( y Sdc .l un n i ce e xr r er e u ht oC t

a e b l l i w s t e s s a l a t i g i d l a u t r i v e h t f i y f i r a l c t o n d i d . t v o G e h T

2.3. Classification of Virtual Digital Asset

h c u s y n a f o e c n e s b a e h t n I . y t i r u c e s r o , y t i d o m m o c , y c n e r r u c

sset A

igital D

. t e s s a l a t i p a c

t to e s n s a r lo a r t e i p h at ce h aw ,, t c n Ao s xr ae t p e ma oy cb nd I l ee hh t d fn o i )k 4 y 1n ( a 2 nf oo i y t t c r ee Sp o fr o p ws en i a v e nm I

’s t y t e r r e e pt on ri pl e ‘ b ms i rs e o t p ey hr Te v .e n os i e s i s f e i f n o g ri ps t ri ot e sy s e , g nn i s i un a be sm i h y hr t o i t wu t da es t t c eo nn ns oa ch . y o j n e r o , d l o h , e r i u q c a n a c n o s r e p a t a h t

, le a r t i o p f ae cr e dh eT m. s er ee dy a ep bx da l t u e oh ht sy sb Ts Ft n e r N m ot ss e e i v c n ni er r o r f ud ce os t a p h yc r r c u ,p e r f oi f , s e t r e e s hs Ta er e l b a as xt ae t s es ba h lc l a hu ss n si t e s s n s o a i t hc a cs un sa fr o t re e h f t s f ni a, r r t e ev he t w no oH . gs nn i i s a i r g a l a nt i i a p ga yc ns aa

sh i c ru e ys af po e xl aa t s ee hh t t tm a ho t r f de l e hm o ec bn i d, l e u s oa hc ss i th i ,t t n n I e. ut s qe es r s f a dh nc au ls a n i t i n g an t i s d ba ur st . e m o c n i s s e n i s u b s a e l b a x a t e b d l u o h s s t e s s a

e r a s t e s s a l a t i g i d l a u t r i v f o r e f s n a r t e h t m o r f g n i s i r a s n i a g f I m r e t t r o h s o t n i n o i t a c i f i s s a l c r e h t r u f r i e h t , s n i a g l a t i p a c s a d e t a e r t

f o g n i d l o h f o d o i r e p e h t n o p u d n e p e d d l u o w s n i a g m r e t g n o l r o . s t e s s a h c u s

f o e t a d e h t m o r f s h t n o m 6 3 n a h t e r o m r o f d l e h s i t e s s a l a u t r i v a f I

e s i w r e h t o ; t e s s a l a t i p a c m r e t g n o l a d e r e d i s n o c e b l l i w t i , e s a h c r u p

. t e s s a l a t i p a c m r e t t r o h s a

e b l l a h s s t e s s a l a t i g i d l a u t r i v f o e l a s e h t m o r f s n i a g l a t i p a c e h T

: r e n n a m g n i w o l l o f e h t n i d e t u p m o c

) x x x (

n o i t i s i u q c a f o t s o C

xxx

Long-term capital gains/Short-term capital gains

x x x

Particulars

Amount

n o i t a r e d i s n o c f o e u l a v l l u F

(a)

irtual V f o n o axati T

a s a d e i f i s s a l c e b d l u o h s t e s s a l a t i g i d l a u t r i v e h t , n o i t a c i f i r a l c

Less:

Taxation under the Head Capital Gains [Section 115BBH] 2.4.

11

2.4-1. Nature of Virtual Digital Assets

2.4-2. Computation of capital gains

sset A

m r e t g n o l r o m r e t t r o h s e h t g n i t u p m o c e l i h w , s d r o w r e h t o n I

lr nl e oa f i hs t sn c usa r dmt ee e dt h rit g e nm hi t o o wr of ol s nl o n ,f i n a oeg i hl t i t a s ,i i t s u qup cha aTc e .h fd o t teg w s n o o i cl l t u ea hep t m tbo p l elc cae xhl i esh ,nw s o nt i d i a p e gmr o le a n xg t i ei p are cob : s t e s s a l a t i g i d l a u t r i v f o

a f o r e f s n a r t e h t h t i w n o i t c e n n o c n i d e r r u c n i e r u t i d n e p x E ) ( ; t e s s a l a t i g i d l a u t r i v

; t e s s a l a t i g i d l a u t r i v a o t g n i t a l e r t n e m e v o r p m i f o t s o C ) (

; t e s s a l a t i g i d l a u t r i v a f o n o i t i s i u q c a f o t s o c f o n o i t a x e d n I ) ( .

F 4 5 n o i t c e S r e d n u n o i t p m e x E ) (

, rs e u f s h nT a. r % t e0 h3 t f mo e ot ra f r ge nh i s t i r t a a ed me x oa ct ne i eb hl l t a ,h ) 1 s ( s Ht Bs e Bs 5a 1l 1a t ng i oi i t d c l ea Su t rr e i pv sf Ao

l ana t tai a rp doa eAc -h xI aV c t u ers e bt m lp l o ar a hhf s d h r C e t e w o do bn l l sua nne i o a b gil t l c lu a a h t ds i p eF ad4 co5 mnn r,i o r e e t t h c t g e r nu S oF r l e d.d n%n a0u 3 mfn o o re i e t t t p a t m r r te oa x hl e sf

. d e m i a l c e b n a c A 7 8 n o i t c e S r e d n u f e i l e r , r e v e w o H . s n i a g

e mb rl e l t a g h ns os l t e ds ns aa ma l rt e i t g i t d r oa l hu st er hv i t nf oo er l e b f as cn i a l p r pt ae eh gt r m a ho cf r r us sn fa i o eg t l a a r t i ep ha Tc 2.4-2c. Surcharge rates

igital D

feyn o cni nao ta c rt e pwed d o sl e nr e l a r r ue nref i oee n)sr s on e e i os s t m i c ta o i us di ec euhn dqti e ocoh natt d f to eg a n wi t hs t t ou ol l sc ap e dnem i abo v ohl lc rta n prh i . )es ) h t a sc t ( ( s ) ) o A 2 1 o ( ( l ( sH Heyi r nhB Bu t Bta B i f fo 5d 5 o 1 1 n 1e fn1 f o npo n i x s oe o t i i i e v t t s y c c oe enrr Sao pS a

irtual V f o n o axati T

12

2.4-2a. No deduction to be allowed for any expenditure or allowance

a

b

c

d

2.4-2b. Tax rates on capital gains

: s w o l l o f s a

% 5 1

% 5 2

% 7 3

% 5 2

% 7 3

% 5 1

% 0 1

n i r e h t o e ym no Ac

m r e t t r o h S

s n i a g l a t i p a c

% 0 1

% 5 1

% 5 1

% 5 1

n i a g l a t i p a c

.

B

% 2 1

% 2 1

% 0 1

% 0 1

% % 7 2

% 2 % 1 5

% 0 1

% 0 1

% 0 1

% 7

% 2 1

g y n i n t a p p o m y t D o e y c i A n o B c Ca i 5 t p S1 s e1 m e v m o i n t o o a i r D n Ce t c g r i p e e e os h r r t o oo O F Cf

- -

A A B 5 1 y 1 n n a o p i t m c o e S rB c C o A i f t B s g 5 e n 1 i m t 1 o p r D Oo

% 0 1

More than Rs. Exceeding Rs. 1 Crore to Rs. 10 Crores 10 Crores y t i r o h t u A l a c o L / m r i F

y t e i c o s e v i t a r e p o o c r e h t O

d e g r a h c e b l l a h s. e %g 4r a fh o c er t u a s r d en ha t tx a a t se s e m o c n C n oi i t f a co ut e da Eg e dr ng ag ha t e l h a et Hn *o -

sset A

% 0 1

m r e t g n o L

Nil

igital D

irtual V f o n o axati T

.

A

Nil

-

Nil

Up to Rs. 1 Crore Taxpayer

More More than Rs. 2 than Rs. crore but 5 crore up to Rs. 5 crore More than Rs. 1 crore but up to Rs. 2 crore More than Rs. 50 lakh but up to Rs. 1 crore Up to Rs. 50 lakh Nature of Income

13

Rate of Surcharge in the case of Individual, HUF, AOP,** BOI or AJP Range of Income

** From A.Y. 2023-24 onwards, the surcharge rates for AOP with all members as a company, cannot exceed 15%.

Rate of Surcharge in case of any other assessee

d n a l a i t n a t s b u s e r a s t e s s a l a t i g i d l a u t r i v n i s n o i t c a s n a r t e h t f I

2.5. Taxation under the Head Business Income

h c u s n i g n i d a r t s i r e y a p x a t e h t t a h t d l e h e b d l u o h s t i , t n e u q e r f

d l u o h s s t e s s a h c u s f o e l a s e h t m o r f e m o c n i , e s a c s i h t n I . s t e s s a

f o n o i t c u d e d t u o h t i w ( s n i a g e h T . e m o c n i s s e n i s u b s a e l b a x a t e b

, P L L , m r i f p i h s r e n t r a p , l a u d i v i d n i n a e b n a c e e n o d r o r o n o d l a c i d i r u j l a i c i f i t r a r o y t e i c o s e v i t a r e p o o c , I O B , P O A , y n a p m o c . t n e d i s e r n o n r o t n e d i s e r r e h t e h w , n o s r e p

g n i w o l l o f e h t m o r f s e s i r a n o i s i v o r p s i h t r e d n u e m o c n: i s dn eo mt i ec ea ds n ea hr Tt ; n o i t a r e d i s n o c t u o h t i w s t fi e n e b y r a t e n o m g n i v i e c e R ) (

r e d i s n o c t u o h t i w s e . i n t o r i e t pa or re pd i es l n b ao vc e ot ma u dq ee fid i a c en pi sr o gf nr i o v i e n co i et Ra ) (

e h t m o r f e s i r a n a c n o i s i v o r p s i h t r e d n u e m o c n i d e m e e d e h T

: s n o i t c a s n a r t g n i w o l l o f

-

c

n o i t a r e d i s n o c t u o h t i w d e v i e c e r s i y t r e p o r p y n a e r e h W ) (

. s R s d e e c x e h c i h w f o e u l a v t e k r a m r i a f e t a g e r g g a e h t d n a

h c u s f o e u l a v t e k r a m r i a f e t a g e r g g a e h t f o e l o h w e h t , 0 0 0 , 0 5

. x a t o t e l b a e g r a h c e b l l i w y t r e p o r p

s i t a h t n o i t a r e d i s n o c a r o f d e v i e c e r s i y t r e p o r p y n a e r e h W ) (

y t r e p o r p e h t f o e u l a v t e k r a m r i a f e t a g e r g g a e h t n a h t s s e l

b

r o n o i t a r e d i s n o c t u o h t i wd n a ; n o i t a r e d i s n o c e t a u q e d a n i r o f y t r e p o r p e l b a v o m m i g n i v i e c e R ) (

a

sset A

ee l h b aT ce . i l e p s ps ae s ss i a nf oo i s s i s v a ol rc pr o ss i h u Tt a .s t 0 0l 0a , i 0 t 5n e .d s i Rs e sr d ee eh ct xg n ei d en ua l a t s vh t ei s w ot ho wn b

igital D

t i f e n e b y n a s e v i e c e r n o s r e p y n a n e h w s e i l p p a ) x ( ) 2 ( 6 5 n o i t c e S a

Taxation under the Head of other Sources [Section 56(2)(x)] 2.6.

irtual V f o n o

% 0 3 f o e t a r t a l f e. hs t s te a c ed l b n aa x) ae t v eo bb la l a d he sn )o e i ct nn ae wm os l a l a ( re og r ea s nh ec pr xu es y n a

n e e w t e b e c n e r e f f i d e h t , 0 0 0 , 0 5 . s R g n i d e e c x e t n u o m a n a y b

. x a t o t e l b a e g r a h c s i n o i t a r e d i s n o c d n a e u l a v t e k r a m r i a f

d e k c e h c e b l l a h s 0 0 0 , 0 5 . s R f o t i m i l e h t , s n o i t a u t i s e h t h t o b n I

. s n o i t c a s n a r t l l a f o e t a g e r g g a n i t o n d n a n o i t c a s n a r t y r e v e r o f

Scan to read more from taxmann.com/ practice

axati T

14

plus

2.6-1. Scope of Section 56(2)(x)

2.6-2. Benefit arising from movable property

axati T

irtual V f o n o

igital D

sset A

15

s e r a h s f o e r u t a n e h t n i y t r e p o r p y n a o t e l b a c i l p p a s i n o i s i v o r p s i h T

,ef s ho g nts i s ee wr aec r x dhe ,W, s y . nn t r oo e i i t l p l c o eur l bp l o cre l lob , a t a cr i v ao g ofm l o o e r ake r ho h cw t r o a yy ,n y n a r a e , l l s s e e e wrl v u et o j p v ,l n s ui e c i t s n i r o ,i us t cgc ena i s t s n n di a na r apt e l b a e g r a h c e b t o n l l a h s e u l a v t e k r a m r i a f e h t r e v o n o i t a r e . dx i s a nt oo ct

, st t n e e s s m a d ln a t es : i g me i i at d r lee a p uho t t rr r e i p t v f g ean d,i s uu w l o c h l nTl i o .f s ot t e eh ss e st s o oat e pl y ob l ra p pv p 2oa l 2ml 0 a 2fh ,os l e lp ) i B ( o) ec2 cs( ne6 ah5 ntn i n o F i i t h et c hi e TwS ; s e i t i r u c e s d n a s e r a h S ) ( x

; y r e l l e w e J ) ( a

; s n o i t c e l l o c l a c i g o l o e a h c r A ) ( b

; s g n i w a r D ) ( c

; s g n i t n i a P ) ( d

; s e r u t p l u c S ) ( e

; t r a f o k r o w y n A ) ( f

d n a ; n o i l l u B ) ( g

. s t e s s A l a t i g i D l a u t r i V ) ( h

t u o h t i w t e s s a l a t i g i d l a u t r i v a s e v i e c e r n o s r e p a f i , s u h T i

e h t d n a n o i t a r e d i s n o c e t a u q e d a n i r o f r o ) t f i g ( n o i t a r e d i s n o c

n i e l b a x a t e b l l a h s t i , 0 0 0 , 0 5 . s R s d e e c x e t i f e n e b h c u s f o e u l a v

m o r f e m o c n i s a ) ( ) 2 ( 6 5 n o i t c e S r e d n u t n e i p i c e r e h t f o s d n a h e h t

. s e c r u o s r e h t o

x

y t i l i b a x a t r o f t e s s a l a t i g i d l a u t r i v e h t f o e u l a v t e k r a m r i a f e h T

2.6-3. Determination of fair market value of virtual digital assets

h t i w e c n a d r o c c a n i d e n i m r e t e d e b l l a h s ) ( ) 2 ( 6 5 n o i t c e S r e d n u

.

A U 1 1 e l u R

x

n o i t a u l a v e h t n o d e s a h c r u p e r a s t e s s a l a t i g i d l a u t r i v e h t e s a c n I

2.6-3a. If purchased from registered dealer

t e s s a h c u s f o e u l a v e c i o v n i e h t , r e l a e d d e r e t s i g e r a m o r f e t a d

. e u l a v t e k r a m r i a f s t i e b l l a h s

sset A

igital D

irtual V f o n o axati T

16

een.d dbese R r olps e mlod t a s heei rs e h g e c e httx r t en e o i e s th ysde t l s nao f s ahs o a ycfht u i r bs co h u d p cs eft e fr voe i efoe e cudeh u l l t ea l u r a n i evova t w r et e a b ktho t i sr t f t a I e y a . s mh a e s t t m a a r ed li e a a c e f i n t r i s o g e pt s i i e hea d s t h l) us a .tla a uc e e t v t be h e r i t ,t ohn v g te en dnh hn i eot t , eitt0 a e m s k0 m a r, 0 c ia t 0 s n(e m5 I

2.6-3b. If received in other mode i.e.,

n e p o e h t n i d l o s f i h c t e f d l u o w t i . ee t ca i r pd n eo hi t t a fu o l ta c v ee ph st e r n no i t re e k r ua l a vm

de eb xt ao t n el bl la l h a hs se nm oo i s c i n v oi rh pc su i S h . t e re e s ds ne s us ga ne i s h i t r a o tt i f e e l nb ea c bi l ep hp t fa o e et a ur l a e vh et ht Ta 2.6-4. Tax rates

e s i r a t o n s e o d t i e s u a c e b H B B 5 1 1 n o i t c e S r e d n u % 0 3 t a d e x a t e h t n e h w , r e v e w o H . t e s s a l a t i g i d l a u t r i v a f o r e f s n a r t e h t o t e u d

l l a h s s n i a g t n a t l u s e r e h t , s t e s . s H a hB cB u5 s1 s1 r n e o f i s t nc ae r S t r re e d hn t r uu fl e tb n a ex i p a i t c e eb r

2.7. Treatment of Losses

. e e s s e s s a n a f o e m o c n i l a t o t e h t n o d e g r a h c s i x a t e m o c n I

2.7-1. General rules of set-off and carry forward

lt a o t n o t o ed hh t c ei nh i w ms rn e o t i e s dv i oo t r ep s i n i wa -t d r ae ec hs n di ea t t u n po mc t oc cA sx i a et moe cm no i c , n e I r . oe f e m r o e c hn Ti r a l u c i t r a p a n i m e h t f o e m o s w o l l a t u b s e s s o l n i a t r e c f f o t e s o t w o l l a

se e m s s o oc Ln i .r t p e eh t co nn oa ct ls a n gi ea l g aa d ne ot i s t a u j gd ea r g e gr aa r ea he t y et kn aa v me l se ur he t h dt ni n ad re e r nr nu ac n mi

, , t e n m e o m c t n s i u f j o d d A a d e a h e e h m r a e s t n e I h , t t r n e e d m n t u s u l l j a d . f As e e m ds as o eo c l hf n i o a f r o d t r n s a I e c -w r sr u po o ef s t y l s r a er r ea e r v h d Ce t s n f na I i

ef ho t d ta s e nh i a ge am fa f s o e t e h s t er be yd an mu g en i ml l oa cf ne i c fr o u eo cs r r ue oh st eo nn oa mm oo rf r f se s om l o ec hn t i

. s e s s o l f o t n e m t s u j d a d a e h a r t n i d e l l a c s i s i h T . e m o c n i

f o e m o c n i e h t t s n i a g a e c r u o s e n o m o r f s s o l e h t f f o g n i t t e s r e t f a f I

l l i t s s i t l u s e r t e n e h t , d a e h e m a s e h t r e d n u g n i l l a f e c r u o s r e h t o n a

ti s s nh i T a g. r aa e fy f o s t u e o s i v ee br yp ae mm ea ms oe ch nt i n fi o d da ae eh hr e eh nt oo rn e a dr ne ud n su s oe l em ho t c ,n s i s oe l h at

. s e s s o l f o t n e m t s u j d a d a e h r e t n i s a d e l l a c s i

sset A

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irtual V f o n o axati T

r e d n u e m o c n i t s n i a g a f f o t e s y l e t e l p m o c e b t o n n a c s s o l a e r e h W

rg e n dn i ni ua em me or s ce ns i s t s o nl i e a h gt an de nh at ,. )) t r ta n ene e mmy t tt s x s uu e j n j d d o aa t dd d aa r ee a hh w a r r r e o t t f n n i d i ( e d(i adr r a ee a hh c er e me b ahl t s l o a en h ha s t e h t m o r f s s o l f o f f o t e s o n t a h t s e d i v o r p ) ( ) 2 ( H B B 5 1 1 n o i t c e S

dt ec wA s oi l h l t a f eo bn lo l a i s hi sv o dr ep t r u e ph mt oo cy n ta e s r s e a d ln a t u i g d i e d t lu a p um t r o i v c ee hm t o fc o n i rt e s f n s i na ag r a t d e i r r a c e b o t d e w o l l a es . br ta o e ny ln t l a he sm s ss s e os l s ha cg un si dd ne e ac ,c e eu s s s o e t s s d a r ea hw t r o of t

l a t i g i d l a u t r i v f o r e f s n a r t e h t m o r f s e s s o l l a t i p a c e h t t a h t r a e l c s i t I

, os t d tr c o ew j b r ue sh st no i n a I g. t ln a t e i p m at cs u rj e d ha t o d a ye nh atr s e nt i n a i gd an fa f d o a t e e h s ea bt r tn o i nf no as e cl su t r e e s s h a t y c n e r r u c o t p y r c a f o e l a s e h t m o r f s s o l l a t i p a c m r e t t r o h s e h t

e h t m o r f s n i a g l a t i p a c m r e t t r o h s e h t t s n i a g a f f o t e s e b t o n n a c m o r f s s o l l a t i p a c m r e t g n o l e h t , y l r a l i m i S . s e r a h s d e t s i l f o e l a s

l a t i p a c m r e t g n o l e h t t s n i a gs . ad fn f u o f t l e a s u et bu tm o nf no al e ca ss Te Fh t f N m o o r ef l a s s n i ea hg t e b d l u o h s t e s s a l a t i g i d l a u t r i v e n o m o r f s e s s o l e h t , r e v e w o H

l a t i g i d l a u t r i v r e h t o n a m o r f s n i a g e h t m o r f f f o t e s e b o t d e w o l l a m o r f s e s s o l e h t f f o t e s s t i b i h o r p ) ( ) 2 ( H B B 5 1 1 n o i t c e S . t e s s a

) a ( ) 1 ( H B B 5 1 1 n o i t c e S r e d n u d e t u p m o c s a s t e s s a l a t i g i d l a u t r i v

s A . t c A s i h t f o n o i s i v o r p r e h t o y n a r e d n u d e t u p m o c e m o c n i t s n i a g a

d e t u p m o c e r a s t e s s a r e h t o y n a f o r e f s n a r t e h t m o r f s n i a g l a t i p a c

e l a s m o r f e m o c n i e h t s a e l i h w , s n o i s i v o r p r e h t o r e d n u d e x a t d n a

h c u s , H B B 5 1 1 n o i t c e S r e d n u d e t u p m o c e r a s t e s s a l a u t r i v l l a f o

r e h t o n a m o r f e m o c n i t s n i a g a t e s s a l a u t r i v e n o m o r f s s o l f o f f o t e s

o t d e t c e j b u s e b l l a h s f f o t e s h c u S . d e w o l l a e b l l a h s t e s s a l a u t r i v

. t n e m t s u j d a d a e h r e t n i d n a d a e h a r t n i f o s e l u r g n i t s i x e e h t

f o r e f s n a r t e h t m o r f g n i s i r a s s o l l a t i p a c m r e t t r o h s ,

l a t i p a c m r e t t r o h s t s n i a g a f f o t e s e b n a c ) y c n e r r u c o t p y r c ( m u r h t E

For example

17

2.7-2. No set-off and carry forward allowed to losses from virtual digital assets b

b

.

T F

n N a r o n i o c t i b f o r e f s n a r t e h t m o r f g n i s i r a s n i a g

sset A

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. )n3 y 2 cinT2 eD2 r S0 r uU2 c n o0i 0 t 0 0 p 0 , y0 0 r , 20 c ( d4 eg Tr Dr n i Sen f i Us a 0nm a 0r e 0t r , 0 e e 6H h d.t e8 d s 1n a a h0, c22 y r 2 l uu pJ 1 2 s60 a h12 r Ana .oe r hy Mc s au ,e o i 7v 6e .r s p Re th a t d e t u p m o c e b l l a h s T D S U f o r e f s n a r t e h t m o r f s n i a g l a : t r i p e ad cn eu hs Ta ‡ 0 0 0 , 0 6 , 6 1

% % % 0 0 0 2 3 3 ) 0 0 0 , 0 4 , 5 ( 0 4 6 , 5 5 , 6 1

†

) 0 4 1 , 2 4 , 5 ( 0 6 3 , 4

* 9 8 7 , 9 7 , 2

0 6 8 , 6 5 4 0 4 1 , 2 0 0 0 , 0 0 , 8 2 2 0 2 4 0 1 0 0 0 0 , 0 2

3 2 0 2 3 0 1 3 0 0 0 , 0 2

0 0 0 , 0 0 , 0 3

0 4 1 , 3 0 0 0 , 0 0 , 8 1 2 2 0 2 3 0 1 0 0 0 0 , 0 2

l l a h s H B B 5 1 1 n o i t c e S e s u a c e b d e w o l l a e b l l a h s n o i t a x e d n i f o t i f e n e b e h T * .

4 2 3 2 0 2 r a e y t n e m s s e s s a e h t m o r f e l b a c i l p p a e b

tl e s ob ca x ea ht t e fb o l l na oh i ts a n xo ei t di ns i i u rq oc ea gf ao r t e s ko oc rs bs e el hn t o ri t oa f r de ed i ws on l o l a c s ee bl la l S a . hn so i nt os i i tu i c uq dc ea de h ot f o N †

. s n i a g l a t i p a c d a e h e h t r e d n u

‡

s t e s s a l a t i g i d l a u t r i v e h t f o e l a s e h t m o r f 0 0 0 , 0 2 , 1 1 . s R f o e m o c n i l a t o t e h T

r e t f a d e t u p m o c n e e b s a h e m o c n i l a t o t e h T . % 0 3 f o e t a r e h t t a e l b a x a t e b l l a h s s n i a g e h t h t i w 2 2 0 2 4 0 1 0 n o e n o d e l a s e h t m o r f g n i s i r a s s o l e h t f o t n e m t s u j d a .

3 2 0 2 3 0 1 3 n o e n o d e l a s e h t m o r f g n i s i r a

hre cab ael l eya 0sh u 0o s 0i s , vT 1 eF .r s Rp f N teo h a r ste Tnf i Fs s n Ta Fr 0 N t 0 0 l N e , lh 2 a t ddm ee s o rr a hrf e f cs s r n n ua i pr a g st a l: ea r hH t e i A.p d 0an .2 r cu M0es 2 ha , y T d l e u .t J3 u 2 6p 2 12 m n0 o o2c

% 0 3 †

) 0 0 0 , 0 0 7 (

) 0 5 7 , 0 0 , 7 ( 0 5 7 0 0 0 , 0 0 , 3 2 2 0 2 4 0 1 0 0 0 0 , 1

s e)e h0b % s e 0 t 0 l t 0o t, 3 n s n n0n o 0 i i , t a 5 a a g ( c r a . ‡ e s s 0 . fR e f 0 ds i s n o 0 s , si -fo n o t a 0 e l og 0 s s , cl s h 2 sa eoc l t b e u i ts l p n e a a a , nr 0 Sc c e eh 5 . d e 2 7 g a 2hr t , T ae 0.

8 u 9 rh 23 , F 1 e 2. e 4 k 0e 02 oh rt 1 -m 0 br 03 e o 0 5 ed c n2 hn n o1 . , t s i 1 e3r r ru n a n e oe e l ooh f b dety 0 da t 0 e x snon 0 w a Toye , 0 ot Fdnu 0 l e eaq , a lb l N 2 te f a s 1 el s o s l e nb a i bh e u l a hg a ls s 3 l t s a o 2 a n e m 0 ho ft ho f 2 si d nt r i troa 3 f m s t o i 0 t e i gs w on u ri 1 c r q f eo 3 uc ss f b i da s r e td a 0 df os o l e o i 0 nr t ei nn 0 os h r , aaa o 1 c T † N ‡gcc

0d 0e r 0r , e 1 f s dn na at r se TH F0 .

2 0 0 N 2 0y l 0u , 1 J d6 e1 sn ao hh cc ra ue p0 0 s, 5 a1 h. s AR t .a r y Mc n ,e r r u c o t p y r C

Example 3

Tax Rate

Taxable Profit or (Loss) BroNet Profit kerage or (Loss) Consideration Sold on Qty.

Tax Rate Taxable Profit or (Loss) Bro- Net Profit kerage or (Loss) Consideration Sold on Qty.

irtual V f o n o axati T

18

2.8. Illustrations Example 1

Example 2

sset A

igital D

irtual V f o n o axati T

e h: Tr e .d 3 2n u 2 2s 0a 2d re a t eu yp sm uo oc i v e eb r l pl a eh hs t r ne i f ys cn na r et r r h uc cu os t p m yo r r f d C s n ni aa sg Tl a Ft i p l N a l a c Tax Rate 0 5 7

) 0 5 7 , 0 0 , 1 (

) 0 0 0 , 0 0 1 (

% 0 3

0 0 0 , 0 0 , 8 1

0 5 2 , 1

0 5 7 , 8 9 , 2

‡ 0 0 0 , 0 0 , 3

% 0 3

3 0 1 3

3 2 0 2

4 0 1 0

) o 0t 0p 0y , r 1 C (

†

0 0 0 , 0 0 , 4 1 2 2 0 2

) 0T 0F 0N , 1 (

Taxable Profit or (Loss) Net Profit or (Loss) Brokerage Consideration Sold on Qty.

19

s s e l n o i t a r e . ds i n si na og cl a st e i l p a a Sc .d e ga ae r h e ke oh rt br e ed hn t ru ol e f b da ex wa ot l e l b a l el ba h ls l a n ho si t ns i oi i u t c q uc da ef do t os o N c †

t ma oe rl f b ga nx i a s t i r e a b sl nl i a a h gs e0 h0 t 0 t, s 0 n0 i , a 2 g. as fR f f o o t e n s i ea bg nt ae cn se Th FT . y c f N n o e er l r a u s c eo ht t p y mr oc rf f so s e oa l l es he Th ‡ t . s n i a g l a t i p a c m r e t t r o h s s a % 0 3 f o e t a r e h t

xn ao t i t e a r me od cs i nn I o nc i df eo t r t e n s e nm i ey ba op t e dh et s o m po or r f p x na et ef bo sn a hi o St 4c 9u 1d ne od i e t c h et Sr o wf et nc AA

2.9. Deduction of Tax at Source [Section 194S]

e l b a c i l p p a s i n o i s i v o r p s i h T . t e s s a l a t i g i d l a u t r i v f o r e f s n a r t e h t n o .

2 2 0 2 7 0 1 0 m o r f

n o i t a r e d i s n o c f o y a w y b m u s y n a g n i y a p r o f e l b i s n o p s e r n o s r e p y n A

2.9-1. Deductor

x a t t c u d e d o t d e r i u q e r s i t e s s a l a t i g i d l a u t r i v a f o r e f s n a r t e h t r o f . e c r u o s t a

t n u o m a e h t f i n o i s i v o r p s i h t r e d n u d e t c u d e d e b o t d e r i u q e r s i x a T

2.9-2. Deductee

. n o s r e p t n e d i s e r a o t e l b a y a p s i

. n o i t a r e d i s n o c e h t f o % 1 f o e t a r e h t t a d e t c u d e d e b o t d e r i u q e r s i x a T

2.9-3. Rate of TDS

h t l a e H d n a e g r a h c r u S y b d e s a e r c n i r e h t r u f e b t o n l l a h s e t a r e h T

xn ai o t t ec he t S ,r r oe t d c un du ed de b ei hr t c s oe t r N p As Pa s% i 0 h 2 hf so i n e rt ua fr te o h nt st e a . o s d s de e t ec eu t n Cc d o u i e t dd a c ee u db el d h l E t a h fs & I

.

A A 6 0 2

sset A

igital D

irtual V f o n o axati T

20

e h t n i y l p p a t o n l l a h s B A 6 0 2 n o i t c e S f o s n o i s i v o r p e h t , r e v e w o H

lt tl o o an nh sd sx a n haa t n e e eh o t i t s c , i ud v oo di er r p de ps ed i he h t t i f r fi i e cd ne epn vsu ead ,re s b uoi f he r c Tms .oe n r ocp sne i r f t e o a pn r dre euh i t t f e i t r c a eed phe st t dc ae u fh d o se i en d s re a ub cf

.b , n 6 os9 r . e 2 pa dr ea i P f i c n ei pd se i ai f sc i e rp e ys as pa n eo hs t r fe i ,p B d Ai e 6i f 0c 2e np os i a t c t eo Sn ni s i r de ey i f a i c p ee ph st sf a I a s i e e y a p e h t f i B A 6 0 2 n o i t c e S r e p s a d e t c u d e d e b l l a hr . se xi l af t n eo hn t

r o e d o m y n a y b t n e m y a p f o e m i t e h t t a d e t c u d e d e b l l a h s x a t e h T

2.9-4. Time of deduction

, t n e d i s e r e h t f o t n u o c c a e h t o t m u s h c u s f o . tr i e d i l er r a c e fs o i er e mv ie t h ec hi t h tw a f o t n u o m a s s o r g e h t m o r f d e t c u d e d e b o t d e r i u q e r s i x a T

2.9-5. Amount on which tax is to be deducted

f o r e f s n a r t e h t r o f n o s r e p t n e d i s e r e h t o t d i a p n o i t a r e d i s n o c . s t e s s a l a t i g i d l a u t r i v

, n o i t a r e d i s n o c e h t g n i s a e l e r e r o f e b , s e s a c g n i w o l l o f e h t n i , r e v e w o H l na i t i dg i i a d pl a nu et er i bv sf a o hr e xf as t n ta a r ht t e eh r t ur so nf en lo l i a t ha sr e ed l i b s i n s no oc ph sc e u r s nf oo st r c e e pp es e hr t

,f l d a t no i y i g t k i i . d l r i n e l b i a f a s u y i n l l t t r a er r i v ht a pth r e tc de h t neu o ams f ; n h a o o d s t rr a n o e i tl o k f o ; cnh eh e ni n g s i i c w y n a y fif c a l f l l tu o h n o r sc t h ci a x t pte w e r o p s na sns i p i i sr e s n i o ni o nn ohn i i os a si t t i a i a t x r c e rca e e ar nt d s e di i f i nh s to s t a r n n r a n o d o t o c a n cpi t e ea eec h , r r r t u t e e e e d t h hs h u e W Ws Wb d a : t ) ) ) e s ( ( ( s a a

b

c

g n i w o l l o f e h t n i n o i s i v o r p s i h t r e d n u d e t c u d e d e b l l a h s x a t o N

2.9-6. Exemption from deduction of tax at source

. s e c n a t s m u c r i c

n o i t a r e d i s n o c e h t f i n o i s i v o r p s i h t r e d n u d e t c u d e d e b l l a h s x a t o N

2.9-6a. Consideration is below Rs. 10,000

s t i d n a ) n o s r e p d e i f i c e p s a n a h t r e h t o ( n o s r e p y n a y b e l b a y a p s i

n o i t a r e d i s n o c e h t f i n o i s i v o r p s i h t r e d n u d e t c u d e d e b l l a h s x a t o N

e t a g : er r a g ge ay l sa t i i c dn na n ai sf ne oh st r g e n pi r du ed i f i 0 c 0 e0 p, s0 5 g. ns i wR od l e l o e f c ex he t t yo bn s ee l o b ad ye au pl a sv i

lh sa rs oe c iu c sn t ns ia p s h i unc e c b fii efeh r w h sot n s e i os g r ra na g i c e r , y u s n l i e da l i en a ,c r s n looa i r a s ; c t nd s o fi e 1 e t f e r .o es r he s rt oRp f gs h n d a n we i a fd eo ,c r et F cs e Uxs ei r Hea t tcpe ao s ys nl rni e a o t s ha l le a a i k t uoadi g ddlei i r0md v e 5 i l m v. d a i s noR u r n i t a r r nu rei At oyv ) ( e m o c n i y n a e v a h t o n s e o d o h w F U H a r o l a u d i v i d n i n A ) (

. n o i s s e f o r p r o s s e n i s u b f o s n i a g d n a s t fi o r p d a e h e h t r e d n u 0 0 0 , 0 5 . s R

) n o i s s e f o r p r o f ( s h k a l 0 5 . s R

0 0 0 , 0 1 . s R

0 0 0 , 0 5 . s R

-

) s s e n i s u b r o f ( e r o r c 1 . s R u

) nn o ei ts o s e nf lo a r up dr i o v i s d s ne i n i ns au sb e y dn ua l c n ni i d oe sg l a A (g i d n I r e h t o y n A

l a u F d U i H v

) n o i s s e f o r p r o f ( s h k a l 0 5 . s R

d e g a g n e t o n F U H n a s e d u l c n i o s l A (

0 0 0 , 0 1 . s R

0 0 0 , 0 1 . s R

n o s r e p r e h t o y n A

) n o i s s e f o r p r o - s s e n i s u b y n a n i F U H r e h t o y n A

, dr ne h at r O -u 4 F 9.

1S 4 n9 o1 i t n c ei o s t rc e e ds nr e ud Sn Du Td e ot t c tu c d ee j b d ue sb sl i l na h os i t x c at a s , nS a4 r t 9 a1 n eo r i e t hc e Ws

2.9-7. Overriding effect of provision

0 0 0 , 0 1 . s R

l a u d i v i d n I

u

0 0 0 , 0 1 . s R

P L L r o m r i F

) s s e n i s u b r o - - ( f e r o r c 1 . s R

y n a p m o C

-

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. r a e y

u

Threshold limit of consideration Threshold limit of turnover or gross receipt Category of payer

igital D

irtual V f o n o axati T

l a i c n a n i f e h t g n i r u d 0 0 0 , 0 1 . s R d e e c x e t o n s e o d e u l a v e t a g e r g g a b

21

2.9-6b. Consideration is below Rs. 50,000

a

2.9-6c. Summary

u

sset A

igital D

r e d n u d e t c u d e d n e e b s a h x a t h c i h w f o t c e p s e r n i n o i t c a s n a r t a y n a r e d n u d e t c e l l o c r o d e t c u d e d e b l l a h s x a t os . nn ,o n i oi s i v s i o v or rp pe r sh i t h o t o t e r i u q e r t o n s e o d b 6 9 .

2 a r a p n i d e n i f e d s a n o s r e p d e i f i c e p S

ru e bd e md ua h t N c n u us o, ce cc An ne oH i . t n c eo i l t l c o . eN s r C A s oh i T nt f o or i ee t c dc una dul exp n Da i x t N agA TnP i t ac s i nuh i d a ee t b ds oru ron ofa y)c N l r p A o pT t a( c

sly a i r h r e t t v fnE e o . s y n e C t l hu ot i s c ff i i v o f oli ra d pv e eoh hrt p t pe oa v t ro to m c ie er f pr f e eo ght nts i e h v t n i i i g l we n,d i yi sa u e mg s i e r du a r s a yo s i t l B, u t cen i f he f t m i d ,n r yne o i nt v ac o eG fs I s ee s i ui t or Ho h ht cu aa ex a et r oe f m e bo c dn i i a l e h et bn lo l a g hn si d dn ri a ob e Bb el l ha t h ys bd dn ea t un se s i m ea ni i l l r e a dP i u f go n o n o i t a r e d i s n o c e h t g n i y a p r o f e l b i s n o p s e r n o s r e p e h t n o d n a . t e s s a l a t i g i d l a u t r i v h c u s f o r e f s n a r t e h t

Remarks TDS

n o i t a r e d i s n o C -

ne r oo i t 2 f c 2 ae0 b s 2 n ae4 r 0 nt no1 od0 -

-

e l b a c i l p p a t o N

o N

0 0 0 , 9

s e Y 0 0 0 , 0 0 , 5 1

h s a C 2 2 0 2 3 0 1 0

2 2 0 2 4 0 1 0

h s a C

s e Y

Payer is a specified person

PAN of payee available Consideration

Nature of transaction Date of Sale or Exchange

irtual V f o n o axati T

22

2.9-8. TAN is not mandatory

2.9-9. Others

2.9-10. Example

.i s Rf na an hi t 0 s0 s 0 e , l 0 s1 i

r a e y l a i c n a n -

. ns oR i t n a a r e h dt i s s s ne l os Ci -

s e Y s e Y 0 0 0 , 0 4 h s a C 2 2 0 2 4 0 1 0

i f a n i 0 0 0 , 0 5

r a e y l a i c n a n

-

e h t t a S D T

0 0 0 , 5 1

o N

s e Y

0 0 0 , 0 0 , 5 1

h s a C

2 2 0 2 4 0 1 0

f o % 1 f o e t a r

n o i t a r e d i s n o c

e h t t a S D T 0 0 0 , 0 0 , 3

fn o o i %t a 0r 2e fd o i s en t o a c r n o i t c e S rA e A d6 n0 u2 sn a o ec l e r e eh r ot f g e n Bi 0 0 0 , 5 1 s e Y

o N

sset A

s e Y 0 0 0 , 0 0 , 5 1

e h t , n o i t a r e d i s

lt l a a hh st r o e t cr uu ds en de nd en ea bd e st a c hu d xe ad t

t c e p s e r n i d i a p n o c. n o ht i ca ur se d fi o s 0 0 0 , 0 0 , 0 1

0 0 0

, 0 0 , 2

) 0 0 0 , 0 0 , 1 (

0 0

0 , 0 0 , 1 ) 0 0 0 , 0 0 , 0 1 (

0 0 0 , 0 0 , 1

0 0 0 , 0 0 , 0 1

) 0 0 0 , 0 0 , 0 1 (

s n i o c t i B f o e l a S m o r F

0 0 0 , 0 0 , 3 ) 0 0 0 , 0 0 , 6 ( 0 0 0 , 0 0 , 9 0 0 0 , 0 0 , 2 n u F n o f N n o e ek l a o ST ml e ob r i Fg

-

-

-

0 0 0 , 0 0 , 1

0 0 0 , 0 0 , 1

0 0 0 , 0 0 , 1

0 0 0 , 0 0 , 1

aV sM a F d( ed vn i e) e i 0 cr ef 0 r 0 m, 0 no0 i r1 o f ct . t fs i i R B g

-

sr ae h ) dte eor r vb o i r e c c 1 m eo rr . s nfR i tV o f i cg M t i F Ba(

4,00,000

Gross Total Income

o N

0 0 0 , 0 0 , 5 1 r a C

-

)t s si oB l ( n /i et mn e om ct ns ie gv nn iis dmn ao i rr o Tf c

16,00,000

u

9,00,000

11,00,000

u

Income from Other Sources

igital D

h s a C

. s t e s : s r a e ld a n t i u g i s d a ld a e ut t u r i p v em ho t c me b ol rl f a eh ms oe cm no i c gn ni i e wl ob l a l x o f a t es hi t sh nn ro a x ea At .e r h MT

Income from Capital Gains

-

2 2 0 2 4 0 2 0

-

u

irtual V f o n o axati T

2 2 0 2 4 0 1 0

u

Case 4 Case 3

Case 2

Remarks Payer is a specified person

TDS PAN of payee available Consideration Nature of transaction Date of Sale or Exchange

Case 1

Description

23

-

2.10. Comprehensive Example

sset A

igital D

-

-

-

-

-

e m o c n I l a m r o

0 0 0 , 0 5 , 4 0 0 0 , 0 0 , 3 0 0 0 , 0 4 , 2

s t e s s A

0 0 0 , 0 9 l a u t r i V f o e l a s

n Nn o o x x a a T T

l a t o T

-

-

-

0 0 5 , 2 1

c e S r e d n u e t a b eA R7 8 n o i t

0 0 0 0 0 - 0 , 0 , 8 5 , 1 4 0 0 0 0 0 - 0 , 0 , 2 0 , 1 3 0 0 0 0 - 0 , 6 0 , 4 9 , 2

e g r a h c r u S : d d A

s s e n C o i t a c u d E : d d A

0 0 0 0 5 - 1 , , 7 3 7

y t i l i b a i L x a T

4,68,000 3,12,000 2,49,600

4,50,000 3,00,000 2,40,000

-

-

-

r e d n u s n o i t c u d e D ) d e w o l l a t o n ( I V r e t p a h C

9,00,000 Taxable Income

80,600 Total Tax Liability

-

Less:

4,00,000

Description

90,000

16,00,000 11,00,000

Case 4 Case 2

Case 3 Case 1 Less:

irtual V f o n o axati T

24

BUDGET GUIDE 2022-23

AUTHOR PUBLISHER DATE OF PUBLICATION EDITION ISBN NO PAGE NO. BINDING TYPE

: : : : : : :

TAXMANN TAXMANN FEBRUARY 2022 2022-23 9789393880697 280 PAPERBACK

Rs. 395 | USD 36

Description This book is a commentary on the proposed provisions of the Finance Bill, 2022. It covers the following: u Clause-by-clause detailed analysis u Covering all the amendments proposed by the Finance Bill, 2022.

All complex provisions have been explained with illustrations which helps the readers to comprehend the new provisions in a simplified manner.

The Present Publication is the 2022 Edition, authored by Taxmann’s Editorial Team, with the following coverage: u Table of ‘List of Amendments’ u [Tax Rates] applicable for the assessment year 2023-24 u [Threadbare Analysis] on all proposed amendments u [Examples/Illustrations] to understand all complex provisions u [Charts & Tables] to get an overview of the provisions

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