INCOME TAX SENDS NOTICE TO BITCOIN CREATERS

Mumbai: The income tax department on Saturday asked bitcoin holders to disclose details of bitcoins or other cryptocurrency transactions. The income tax notices were issued to 4-5 lakh high net worth individuals (HNIs) under the annexure to summons under Section 131 of the Income Tax Act.

Mint has a copy of the tax notice to bitcoin holders.

“We have sent out summons to HNIs who were trading in bitcoins under Section 131. Right now, it is mostly fact-finding to understand sources of income and whether there is any unreported income arising out of bitcoins,” said an income tax official declining to be named.