India’s 2026 Tax Season Tightens Crypto Compliance Requirements: Enhanced Per-Transaction VDA Reporting, Compliance and Data Integrity Become Key

Odaily Planet Daily News India’s 2026 tax season imposes stricter compliance requirements on crypto investors. Although the tax framework has not undergone drastic changes, enforcement力度 and reporting details have significantly tightened, making the potential consequences of reporting errors more severe.

India will implement the new Income Tax Act (2025) effective April 1, 2026, replacing the original 1961 Act. For the FY2025-26 tax year, crypto assets (VDAs) still need to be reported under the existing framework, but with further detailed execution requirements. Among them, Schedule VDA requires investors to report on a "per-transaction" basis, rather than merely aggregating net gains, covering records of each transaction, exchange, and asset disposal. For users engaging in cross-platform trading, DeFi operations, and multi-wallet transfers, data integrity and consistency have become core challenges.

Analysis indicates that failure to fully report any single crypto asset exchange or transaction could trigger compliance risk reviews. Regulatory scrutiny over data matching and on-chain/exchange record verification is increasing. (Times of India)