India about to Recognize Bitcoin and Tax it

India’s local news outlet The Hindu, reported that Indian Government may consider putting a goods and services tax on Bitcoin purchases and sales, and Bitcoin will be soon under the oversight of the stock market regulator, Securities and Exchange Board of India (SEBI).

“The discussion on whether crypto-currencies should be banned or regulated has been on for some time. The pros and cons for both aspects were put forth in the meeting chaired by Finance Minister Arun Jaitley last month,” an official told The Hindu.

“Banning will give a clear message that all related activities are illegal and will disincetivise those interested in taking speculative risks, but it was pointed out it will impede tax collection on gains made in such activities and that regulating the currency instead would signal a boost to Blockchain technology, encourage the development of a supervision ecosystem (that tracks legal activities and may also assist in tracking illegal activities) and promote a formal tax base,” said another official privy to the development.