India’s crypto tax crackdown has moved into a stricter enforcement phase, with authorities issuing more than 44,000 VDA-related notices and identifying more than ₹888 crore, or about $104 million, in undisclosed virtual digital asset income. The sharper scrutiny comes as Indian investors enter the 2026 tax season under the same core crypto tax structure but with stronger data-matching tools. Income from the transfer of virtual digital assets remains taxed at 30%, with no deduction allowed other than cost of acquisition and no set-off of losses against other income. Eligible VDA transfers also remain subject to 1% tax deducted at source, giving tax authorities a transaction-level trail across exchanges and reporting systems.