India’s tax authorities have issued new guidance requiring cryptocurrency exchanges and intermediaries to strictly report transaction data, a move designed to eliminate blind spots in digital asset trading.
The Central Board of Direct Taxes (CBDT) released the note to ensure full visibility into crypto markets, signaling a shift toward comprehensive oversight rather than outright prohibition.
The directive targets tax evasion by mandating that platforms provide detailed records of user transactions to tax officials.
Industry experts have welcomed the clarity, noting that standardized reporting obligations reduce ambiguity for compliant businesses while making it harder for illicit actors to operate within the formal financial system.
The rules apply to all intermediaries facilitating crypto trades, forcing them to align with traditional financial reporting standards.
This development adds to a global trend of regulatory tightening around digital assets.