India to begin cross-border crypto data exchange from April 2027

New Delhi : India will start sharing and receiving cross-border cryptocurrency transaction data from April 1, 2027, under a global reporting framework, a senior official said, noting that work has commenced on the global information exchange format.

The budget has proposed stiff daily and flat penalties on crypto exchanges and intermediaries that fail to properly report digital asset transactions, as India prepares to join a global system for sharing crypto-related information.

The move aligns India with the Organisation for Economic Cooperation and Development (OECD) led Crypto-Asset Reporting Framework (CARF), a global standard that requires countries to automatically exchange information on crypto transactions between tax authorities, similar to an existing framework for sharing of information banking sector transactions. India is a signatory to the CARF. “India will start information exchange from April 1, 2027 and we are already working on the detailed sharing format which will be out before April this year,” the official told ET .

India has been pushing for coordinated global regulation of cryptocurrencies, arguing that crossborder oversight is critical as a large share of crypto trading by Indian users takes place on offshore platforms. This also aligns with recommendations of the Financial Action Task Force (FATF), aimed at curbing tax evasion and illicit financial flows.

Tougher penalties for crypto exchanges, announced in the budget are aimed at strengthening reporting discipline ahead of India’s participation in international frameworks for sharing information on crypto transactions, the official said. “The objective is to ensure that our reporting systems are robust and fully compliant before India begins exchanging crypto transaction information with other countries,” the official said, adding that the government will closely supervise crypto compliance and strictly enforce monitoring.

The Centre will reach out to the crypto exchanges to assist them with any technical issues.

From April 1, 2026, entities that don’t submit prescribed crypto transaction statements will face a daily penalty of ₹200, while inaccurate reporting or failure to correct errors will attract a flat penalty of ₹50,000, per the budget documents.
The government had in 2022 introduced a 30% tax on gains and a 1% tax deducted at source from crypto transactions.