India Targets 400 Wealthy Binance Users in Major Evasion Case
Indian crypto traders are facing a major tax crackdown, with authorities investigating more than 400 affluent individuals for allegedly evading taxes on Binance. The investigation underscores the severe financial risks of non-compliance with India’s complex crypto tax laws.
Traders in India face one of the world’s highest effective tax rates on crypto profits, which can reach up to 42.7% when including the 30% profit tax, a 1% Transaction Tax (TDS), and additional levies. The probe, targeting trades from 2022-2025, highlights the government’s intensified scrutiny even as global exchanges like Binance work to regain compliance. Binance, which was banned in 2023, only recently re-entered the market after paying a multi-million dollar fine.
This move signals a clear warning from regulators: as the digital asset landscape evolves, enforcement of tax obligations remains a top priority, and previous trading activity on non-compliant platforms is not beyond review.
