Study Circle Meetings
Navigating the Latest Changes in ITR, Tax Audit & TDS - Team SmartBiz (SmartTax)
July 2026 | Bar Room, Income Tax Office, Rishi Nagar, Ludhiana
Meeting Summary
Respected Members
A heartfelt thank you to all the members who joined us for yesterday's Study Circle meeting and made it a truly engaging and enriching session.
Sincere appreciations to the Study circle Team for organising such informative sessions for the members.
Sharing a few glimpses from the session.
Looking forward to your continued participation.
Regards
Team DTBA Ludhiana
VDA Taxation & Litigation Dynamics in India - Adv. Dhruv Gupta
May 2026 | Bar Room, Income Tax Office, Rishi Nagar, Ludhiana
Meeting Summary
Minutes of Study Circle Meeting on VDA Taxation & Litigation Dynamics in India
Team DTBA warmly invited all its esteemed members to an informative Study Circle Meeting on the topic “VDA Taxation & Litigation Dynamics in India.”
The session was held on Thursday, 21st May 2026 at 03:30 PM at Income Tax Office, Rishi Nagar, Ludhiana.
The session was led by Adv. Dhruv Gupta, a young expert in the field, who shared valuable insights on the emerging issues relating to crypto taxation, reporting and litigation.
The session began with a basic technical understanding of crypto and Virtual Digital Assets, so that the taxation provisions could be appreciated in the correct practical context. The speaker explained important concepts such as cryptocurrency, blockchain technology, decentralised and centralised exchanges, private wallets, blockchain networks/chains, wallet addresses, P2P transactions, and different types of crypto transactions.
Special emphasis was given to Peer-to-Peer (P2P) crypto transactions, including how informal P2P transactions are carried out, how such transactions may be used in hawala-type arrangements, and the related risks of bank account freezing, cyber fraud linkage, tainted funds, and possible litigation exposure. The importance of tracing wallet transactions, identifying the source of funds, and maintaining proper documentation was also discussed.
Thereafter, the taxation framework applicable to VDA transactions was discussed in detail. The speaker explained the definition of Virtual Digital Asset, applicability of 30% tax under section 115BBH, non-allowability of deductions except cost of acquisition, restriction on set-off and carry-forward of losses, and requirement of transaction-wise reporting in Schedule VDA of the ITR.
The provisions of TDS under section 194S were also discussed in detail with reference to CBDT Circular No. 13/2022 and Circular No. 14/2022. Practical aspects relating to exchange transactions, non-exchange/P2P transactions, crypto-to-crypto swaps, in-kind consideration, payment gateway issues, and the interplay between sections 194S and 194Q were explained.
The session also covered important aspects of ITR reporting, AIS/Form 26AS reconciliation, foreign exchange/private wallet reporting, Schedule FA/AL implications, and compliance precautions. Real-life notices, questionnaires, and information requirements issued by the Income Tax Department in VDA matters were also discussed, giving members a practical understanding of current litigation trends.
The session witnessed active participation from respected senior members and other professionals. Various queries raised by the members were discussed and answered during the session. The meeting was highly interactive and informative, providing valuable practical insights into the emerging area of VDA taxation, compliance, reporting and litigation.
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