Non fungible token as virtual digital asset

Non fungible token as virtual digital asset

S.O. 2959(E).––In exercise of the powers conferred by clause (a) of Explanation to clause (47A) of section 2 of the Income-tax Act, 1961 (43 of 1961) (hereinafter referred as ‘the Act’), the Central Government hereby specifies a token which qualifies to be a virtual digital asset as non-fungible token within the meaning of sub-clause (a) of clause (47A) of section 2 of the Act but shall not include a nonfungible token whose transfer results in transfer of ownership of underlying tangible asset and the transfer of ownership of such underlying tangible asset is legally enforceable.

2. This notification shall come into force from the date of publication in the Official Gazette.

Notification

Read More:

• Exclusion of digital assets from definition of virtual digital asset
• New sections on Virtual Digital Assets under the income tax
• Section 194S: Payment on transfer of virtual digital asset

Read More on Income-tax, CBDT