BIG UPDATE ON CRYPTO & GOVERNMENT ACTION IN INDIA
The Indian government has officially told Parliament that they’ve started training tax and enforcement officers in:
🔹 Blockchain analysis
🔹 Crypto-tracking tools
🔹 Wallet forensics
🔹 On-chain investigation
🔹 Handling digital evidence
This means India is scaling up its ability to track crypto transactions and catch tax evasion.
What’s Already Happening?
🔹 ₹888.82 crore of undeclared crypto-linked income has been detected.
🔹 44,057 notices sent to people who traded crypto but didn’t report it in their tax returns.
🔹 Authorities are using advanced tools like Project Insight to match blockchain activity with tax data.
Why the Crackdown?
The government says crypto/VDAs can be used for:
🔹 black-money flow
🔹 tax evasion
🔹 cross-border laundering
So they're increasing monitoring and enforcement.
India’s crypto TDS collections have crossed ₹1,000 crore, and enforcement drives also found ₹39.8 crore in TDS violations on offshore exchanges.
What This Means for You
If you trade or invest in crypto:
✔️ Declare it properly in your tax filings
✔️ Don’t ignore notices
✔️ Keep records of all transactions
The government now has stronger tools to track crypto activity — transparency is no longer optional.
