Indian Tax Authorities Warn Crypto Transactions Could Hinder Tax Enforcement

Indian Tax Authorities Warn Crypto Transactions Could Hinder Tax Enforcement

Indian tax authorities warn that crypto transactions are making income tracking and enforcement more difficult.

Income Tax Department Flags Crypto Risks

Following Reserve Bank of India’s (RBI) suit, the income tax (I-T) department has now also reportedly raised concerns over risks associated with virtual digital assets (VDAs) like cryptocurrencies. A source told Times of India that the I-T department, in a presentation before the Parliamentary standing committee on finance, flagged concerns that VDAs could be used to move funds through a system without regulated financial intermediaries.  Tax of…

India tax authorities warn crypto transactions hamper enforcement

Financial regulators in India have issued a warning regarding cryptocurrency transactions. According to them, such transactions undermine tax enforcement efforts.  The Times of India initially reported this announcement on Thursday, January 8, noting that the financial authorities’ attitude towards cryptocurrency transactions followed findings from the Income Tax Department (ITD), a government agency responsible for the administration and enforc…

India Flags Crypto Risks For Tax Enforcement

The post India Flags Crypto Risks For Tax Enforcement appeared on BitcoinEthereumNews.com. Financial authorities in India have reiterated concerns over cryptocurrency transactions, warning they may complicate tax enforcement. India’s Income Tax Department (ITD), under the Central Board of Direct Taxes (CBDT), flagged major risks linked to crypto activity during a parliamentary standing committee on finance, The Times of India reported on Thursda…

India’s tax department flags crypto as major enforcement risk

India’s tax department has flagged how anonymous cross-border crypto transactions are hindering enforcement efforts.

I-T department flags major risks of cryptocurrencies, joins RBI in cautioning against VDAs

The Income Tax Department has raised major concerns over virtual digital assets (VDAs), including cryptocurrencies, echoing the Reserve Bank of Indias cautious stance. Officials highlighted risks such as anonymous, cross-border, and near-instant transfers, use of offshore exchanges, private wallets, and decentralized platforms, which make tax tracking and enforcement extremely difficult.