India’s New Crypto Tax Rules: What Traders Need to Know

Don’t Delay—Crypto Tax Penalties Are Steep

If you trade crypto in India, keeping up with your taxes is more important than ever. A new law now requires companies handling crypto transactions to report them to tax authorities. If you fail to report your earnings on time, you could face hefty penalties that increase the longer you wait.

How Late Filings Will Cost You

The Indian government allows you to update your Income Tax Return (ITR) within 48 months after the relevant assessment year, but the penalties grow the longer you delay. If you file within the first year, you’ll pay an extra 25% on your tax and interest. Wait two years, and that jumps to 50%. By year three, it’s 60%, and if you take the full four years, you’ll owe 70% extra.

Avoid unnecessary fines by staying ahead of deadlines. Report your crypto earnings on time and keep your tax obligations in check.