Interest in cryptocurrencies has increased rapidly in India, but tax rules have increased the difficulties for investors and startups. After the strict tax regime implemented in 2022, a large number of Indian users moved to foreign platforms. Bussiness According to the report, now the crypto community is expecting relief regarding Budget 2026. It is believed that the government can make changes in taxes and rules so that investment increases.

Expected change in TDS rules

1 percent TDS on crypto is considered a major reason for the exodus of investors. Experts believe that it can be reduced to 0.01 percent in Budget 2026. This will also maintain government surveillance and investors can return to Indian platforms. With less TDS, there will be no need to hide transactions and tax collection can increase. This will also reduce dependence on unregulated foreign platforms and make the system more secure.

Relief possible in capital gains tax

There is currently a 30 percent flat tax on crypto, which is burdensome for small investors. There is a possibility of adding it to the income tax slab in the budget. If this happens, the burden on low-income investors will reduce, due to which crypto will be considered at par with other investment options. Experts say that this step can help in stopping tax evasion and giving right direction to investment.

Web 3 startups can get facilities

Budget 2026 may allow loss adjustment and general expense reduction for Web 3 and blockchain startups. Currently, tax has to be paid even if there is a loss, which is difficult for business. If the rules are changed, startups in India will get a boost and talent will stop from going abroad. The central government may aim to strike a balance between innovation and regulations, so that the crypto sector can contribute to the country’s economy.