Over ₹700 Cr Revenue in Two Years from Crypto/VDA Tax, Government Deploys Data Analytics to Tackle Tax Evasion
Cryptocurrency Taxes in India: Over ₹700 Crore Collected in Just Two Years
The Indian government has seen significant revenue generation from taxes levied on cryptocurrency and other Virtual Digital Assets (VDAs) in the past two fiscal years. The total tax collected has surpassed ₹700 crore, highlighting the increasing formalization and tax compliance within the digital asset space.
₹269 Crore in Crypto Taxes Collected in FY 2022-23 Alone
Data indicates that for the financial year 2022-23, the Income Tax Department collected ₹269.09 crore as tax from income derived from VDAs. This figure showcases the substantial contribution of the crypto sector to the national treasury.
Government Intensifies Efforts Against Tax Evasion in Crypto Sector
With the growing popularity of cryptocurrencies, the government is also stepping up measures to prevent tax evasion. Advanced data analytics are being deployed to identify and address potential cases of non-compliance. These sophisticated tools will help track transactions, identify discrepancies, and ensure that all crypto-related income is accurately reported and taxed.
- The government is committed to ensuring fair tax compliance in the digital asset sector.
- Increased scrutiny is expected on cryptocurrency transactions to detect tax evasion.
- Over ₹700 crore collected in taxes from cryptocurrency and VDA income in two years.
- ₹269.09 crore in VDA tax revenue for FY 2022-23.
- Government using data analytics to combat tax evasion in the crypto sector.
- Cryptocurrencies and VDAs are becoming a significant source of tax revenue for the Indian government.
- Increased tax compliance efforts will likely lead to more scrutiny on crypto investors and traders.
- Data analytics will play a crucial role in identifying and preventing tax evasion in the digital asset space.
- Investors should ensure accurate reporting and tax payments on all crypto-related income.