India Intensifies Scrutiny on Unreported Crypto Income of $104 Million
- Indian tax authorities discovered over Rs 888 crore ($104 million) in unreported income from virtual digital assets (VDAs).
- The Income Tax Department issued more than 44,000 notices related to crypto transactions.
- Under the new Income Tax Act, effective April 1, taxpayers must disclose detailed transaction-level information.
- Profits from crypto trades will continue to be taxed at a flat rate of 30%, with eligible transfers taxed at a source rate of 1% (TDS).
- Crypto exchanges and custodians are now required to report user transaction details directly to tax authorities.
The crackdown on unreported crypto income aligns with India’s broader initiative to enhance regulatory frameworks as more citizens invest in digital assets. Stricter compliance measures aim to ensure accurate reporting and discourage tax evasion.
With over $104 million identified as unreported income, the new regulations highlight the government’s commitment to enforcing transparency in the cryptocurrency sector.
