As of August 25, 2026, every VDA transaction (sale, swap, spend) completed between April 1 and August 25 must be documented with acquisition date, transfer date, cost, and consideration for future ITR filing.
Transactions exceeding ₹50,000 (specified persons) or ₹10,000 (others) per financial year trigger 1% TDS deduction at the exchange, creating an automatic tax trail and documentation.
From April 1, 2026, inaccurate or incomplete VDA reporting incurs ₹200 per day penalties (rising to ₹50,000 for serious lapses). Penalties accumulate from filing date backward if errors are discovered.
The financial year AY 2026–27 closes. By this date, all VDA transactions are final and must be prepared for filing.
Income Tax Returns for AY 2026–27 must be filed by July 31, 2027, including complete Schedule VDA with every transaction from April 2026 to March 2027. Missing this deadline invites penalties and audit risk.
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