📉 Budget 2026: Crypto Tax Remains Frozen, Industry Feels the Chill ❄️
The wait is over, and for the Indian crypto community, the news is... well, more of the same. The Union Budget 2026 has officially kept the existing Virtual Digital Asset (VDA) tax framework unchanged, leaving many in the industry frustrated.
Despite heavy lobbying for "rationalization," the government is sticking to its guns with the strict regime introduced in 2022.
🔍 The Status Quo Continues:
30% Flat Tax: No distinction between short-term and long-term gains. Profits remain taxed at the highest bracket. 💸
1% TDS: The transaction-level tax continues, which many argue drains liquidity and locks up capital for active traders. 🔒
No Loss Offsetting: You still cannot set off losses from one token against gains from another. ❌
⚖️ New Compliance "Screws"
While the rates didn't change, the penalties did. The Budget 2026 has introduced a tougher stance on reporting:
Non-filing penalty: ₹200 per day for failing to furnish transaction statements. 📅
Inaccuracy fine: A flat ₹50,000 penalty for providing incorrect data. ⚠️
🗣️ Industry Voices
Industry leaders have expressed disappointment, noting that the high tax friction continues to drive Indian investors toward offshore exchanges, potentially risking "capital flight." While the government sees this as a way to ensure transparency and oversight, the crypto ecosystem was hoping for a "middle ground" to foster innovation.
What’s your take? Is this "stability" good for the long run, or is the 30% tax killing the vibe?
Let’s discuss in the comments! 👇
#CryptoTax #IndiaBudget2026 #Web3India #CryptoRegulation #BinanceSquare
