CBDT's New Crypto Reporting Framework Explained: CARF Impact

India has a new rule that says crypto exchanges must keep track of every trade people do on their platforms.

They have to find out where each user lives for tax purposes and send that info to the tax office.

The rule also says exchanges must check that the information is correct and keep records.

If they don’t do this, they can be fined.

People who trade crypto don’t have to file new tax forms, but they should keep their own records so they match what the exchange reports.

This helps the government see who is earning money from crypto and make sure taxes are paid.