India’s crypto tax collections soar to Rs 437 cr, a 62% bounce: Govt knowledge

The Indian authorities has collected Rs 437.43 crores in earnings tax on cryptocurrencies and different digital digital belongings (VDAs) within the fiscal yr 2023-2024, acknowledged Pankaj Chaudhary, Minister of State within the Ministry of Finance, in a written assertion to the Lok Sabha on July 21.

In FY22-23, the earnings tax collected on cryptocurrency was roughly Rs 269.09 crores, up almost 62.5 % yr on yr as of FY24. Nonetheless, the federal government doesn’t have the latest figures for FY24-25 as a result of the tax submitting deadline remains to be in impact.

That is the primary time the federal government has revealed the specifics of cryptocurrency taxes collected since they had been imposed in 2022. The federal government had imposed a 30% tax on positive aspects from VDAs and a 1% TDS (tax deducted at supply) on all transactions value Rs 10,000 or extra.

In reply to a question, Chaudhary acknowledged, “The Authorities is using knowledge analytics instruments to hint and detect tax evasion from VDA associated transactions. The evaluation contains using Non-Filer Monitoring System (NMS), Undertaking Perception and inside databases of the Revenue Tax Division, to correlate out there data on VDA transactions with the transactions disclosed within the return of earnings by the taxpayer.”

Chaudhary additionally acknowledged that the Central Board of Direct Taxes has launched NUDGE (Non-Intrusive Use of Information to Information and Allow) marketing campaign to find such anomalies for additional motion.

He stated, “Below NUDGE marketing campaign appropriate communications, to overview and replace their earnings tax returns, had been issued to all taxpayers who didn’t report VDA associated transactions of their earnings tax returns, regardless of tax being deducted at supply for such transactions by VASPs, the place the quantum of such discrepancy was greater than Rs 1 lakh.”

Moneycontrol solely reported in April 2025 that a number of crypto traders had been beginning to get earnings tax notices from the IT Division for failing to pay taxes on peer-to-peer (P2P) buying and selling carried out by way of overseas alternate.

The federal government can also be strengthening its employees by way of capacity-building measures that can present officers with coaching packages, specialised seminars, Chintan Shivirs, and hands-on workshops to allow environment friendly compliance monitoring and investigation of VDA-related transactions.

Chaudhary stated, “At native stage, discipline workplaces conduct coaching classes and webinars on digital forensics, Blockchain evaluation, authorized frameworks, and dealing with of digital proof. The officers and officers are additionally imparted brief time period coaching on digital forensics, in partnership with Nationwide Forensic Science College (NFSU), Goa, which empower them to establish and hint VDA associated transactions from knowledge captured throughout intrusive actions.”