India's Finance Minister Nirmala Sitharaman reiterated the importance of transparency in cryptocurrency transactions following the government's announcement of a 70% penalty on unreported crypto gains.
Tax Policy and Technology
Speaking at the Budget Round Table 2025 show organized by India Today TV in New Delhi, Sitharaman emphasized that the Indian government is not opposed to Distributed Ledger Technology (DLT). She pointed out that the implementation of taxes at source and the promotion of transaction transparency is necessary for tracking operations in the crypto sphere.
India's Position Amid Global Changes
Host Rahul Kanwal highlighted how India's tough stance has forced 97% of crypto-trading Indians to move offshore. He also pointed out that the country lost an estimated Rs 6000 crore in tax revenue from TDS alone as many Web3 entrepreneurs relocated to places like Dubai and the UAE. Nirmala Sitharaman responded that India has initiated discussions at the G20 to create international understanding and cooperation on the regulation issue.
Future of Crypto Regulation Discussion
Rahul Kanwal asked whether India's approach to crypto regulation might change given the global acceptance of cryptocurrencies, especially following support from Donald Trump. Sitharaman declined to elaborate further, noting, 'We are India. I will think about India,' making it clear she wasn't willing to discuss the topic further.
Nirmala Sitharaman's appearance at the Budget Round Table 2025 underscores India's firm stance on cryptocurrency transaction transparency, despite global changes and differences in other countries' approaches.
