FM: "There has been a phenomenal increase in transactions in virtual digital assets. The magnitude and frequency of these transactions are made it imperative to provide for a specific tax regime. Accordingly, for the taxation of virtual digital assets, I propose to provide that any income from the transfer of any virtual digital assets shall be taxed at a rate of 30%.
No deduction in respect of any expenditure or allowance shall be allowed while computing such income except the cost of acquisition.
Further, losses from transfer of virtual digital assets can not be set off against any other income.
Further, in order to capture the transaction details, I also propose to provide for TDS, on payments made in relation to transfer of virtual digital assets at rate of 1% of such consideration above a monetary threshold.
Gift of virtual digital asset is also proposed to be taxed in the hand of the recipient."  says FM Nirmala Sitharaman.

This is a developing story, that will be updated shortly.