Finance panel seeks government response on Virtual Digital Asset grey areas, report likely soon

New Delhi , September 16 (ANI): The Parliamentary Standing Committee on Finance has concluded its discussions on Virtual Digital Assets (VDAs), with Chairperson Bhartruhari Mahtab saying the panel identified certain grey areas that need to be addressed and is expecting a response from the government next week.

The discussion was held as part of the committee's agenda, “A Study on Virtual Digital Assets (VDAs) and Way Forward.” Mahtab said the panel has been examining the issue for around a year and has held discussions with various stakeholders during this period.

“As I remember, the first meeting that we had on virtual digital assets was last September 2025,” Mahtab said while speaking after the meeting.

He said that since then, the committee has interacted with a number of stakeholders, including the Reserve Bank of India (RBI), Central Board of Direct Taxes (CBDT) and others who have registered themselves in different capacities to deal with virtual assets.

The meeting was a round-up discussion, although the committee still has certain queries on the issue, Mahtab said.

“The basic question that arises for this committee is government is not accepting virtual digital assets, doesn't want to regulate it, but not regulating it also leaves greater scope for different types of indulgences,” he said.

“That actually is the point of concern. These are the grey areas which need to be tackled,” Mahtab added.

The committee is expecting a response from the government next week, following which it will prepare its report and submit it, he said.

The panel's discussions come amid the broader debate around the treatment of virtual digital assets in India and the approach that should be taken towards the sector.

Virtual Digital Assets is a term used for digital assets such as cryptocurrencies and other virtual assets. The term is also used in India's tax framework for certain digital assets. The committee's study is focused on examining the issues around VDAs and the way forward.

Virtual Digital Assets, or VDAs, are digital assets that exist in electronic form and can be transferred or stored digitally. In India, the term covers certain digital assets, including cryptocurrencies and other specified virtual assets. The committee's study is examining the issues surrounding such assets and the way forward for India.

Mahtab was also asked whether the issue of UPI was discussed during the meeting. He clarified that it was not part of the proceedings of the meeting.

However, he said concerns were expressed on the issue and indicated that it could be taken up by the new committee after it comes into existence in October.

“That was not part of the proceedings today, but concerns were expressed, and after the new committee comes into existence in month of October, I believe that committee will be taking it up,” Mahtab said.

Questions were also raised about GDP regulations and calculations. Mahtab said the issue was not only related to GDP, as it involved a particular formula.

He said the Finance Committee should deliberate on the matter and that some suggestions had been made by members.

“It can only happen after the new committee is formed and we will be ready,” he said.

The Finance panel's report on VDAs will follow the government's response, with the committee expected to complete the process after receiving answers to its remaining queries. (ANI)