India’s Crypto Sector Intensifies Push for Tax Relief Amid Regulatory Challenges

India’s cryptocurrency industry is escalating efforts to lobby the government for tax reforms, arguing that current policies stifle growth and innovation. Stakeholders describe the 30% capital gains tax and 1% TDS on transactions as punitive measures driving traders to offshore platforms.

A recent Esya Centre report reveals nearly 90% of Indian crypto trading has migrated overseas since the 2022 tax implementation. Industry leaders warn this exodus threatens India’s position in the global digital asset economy, even as international momentum builds behind crypto adoption.

The sector remains hopeful for policy revisions, particularly with shifting political winds in major economies like the U.S. However, the standoff continues between regulators seeking oversight and an industry fighting for survival under what it calls prohibitive taxation.