India’s Tax Authorities Warn Crypto Undermines Enforcement

[encrypted]

At the same time, officials from India’s Income Tax Department have warned lawmakers that cryptocurrencies pose challenges to tax enforcement. In recent discussions with Parliament, officials argued that decentralized exchanges, anonymous wallets, and cross-border transfers make it harder to track taxable activity.

Under India’s current tax regime, profits from crypto transactions are taxed at a flat 30%, with no ability to offset gains using losses from other trades. The inability to harvest tax losses, combined with strict compliance rules, highlights India’s hardline stance as it seeks to balance innovation with financial oversight.

[lingriiddd]

30% flat tax with no loss offset is brutal, no wonder ppl try to avoid reporting