A basis can be found in Hindu teachings both for permitting and forbidding the death penalty. Hinduism preaches ahimsa (non-violence), but also teaches that the soul cannot be killed and death is limited only to the physical body. The soul is reborn into another body upon death (until Moksha), akin to a human changing clothes. The religious, civil and criminal law of Hindus is encoded in the Dharmasastras and the Arthasastra. The Dharmasastras describe many crimes and their punishments and calls for the death penalty in several instances, including murder, the mixture of castes, and righteous warfare.

However the Mahabharata contains passages arguing against the use of the death penalty in all cases. An example is a dialogue between King Dyumatsena and his son Prince Satyavan (section 257 of the Santiparva) where a number of men are brought out for execution at the King's command.

Prince Satyavan says: Sometimes virtue assumes the form of sin and sin assumes the form of virtue. It is not possible that the destruction of individuals can ever be virtuous.
King Dyumatsena replies: If the sparing of those who should be killed be virtuous, if robbers be spared, Satyavan, all distinction between virtue and vice will disappear.
Satyavan responds: Without destroying the body of the offender, the king should punish him as ordained by the scriptures. The king should not act otherwise, neglecting to reflect upon the character of the offence and upon the science of morality. By killing the wrongdoer, the King kills a large number of his innocent men. Behold by killing a single robber, his wife, mother, father and children, all are killed. When injured by wicked persons, the king should therefore think seriously on the question of punishment. Sometimes a wicked person is seen to imbibe good conduct from a pious man. It is seen that good children spring from wicked persons. The wicked should not therefore be exterminated. The extermination of the wicked is not in consonance with the eternal law.
On the other hand, such a liberal modernist interpretation of the texts is not so absolute: in the same text, in the Bhagavad Gita, righteous destruction of the wicked is commended as meritorious and fulfillment of caste duty:

“Taking as equal pleasure and pain, gain and loss, victory and defeat, gird thyself for the battle; thus thou shalt not incur sin.” (II. Verse 38)

"When justice is crushed, when evil is triumphant, then I come back. For the protection of the good, for the destruction of evil-doers, and for the establishment of dharma, I am born age after age." (VI, Verses 7-8)

In spite of liberal modernist mawkishness, death punishment for conscienceless murderers and sexual deviants has always been part of the Hindu sanatana dharma. The Indian religious teacher A. C. Bhaktivedanta Swami Prabhupada sums up the Hindu doctrine on righteous lethality and detached violence in an objective fashion:

"...violence also has its utility, and how to apply violence rests with the person in knowledge. Although the justice of the peace awards capital punishment to a person condemned for murder, the justice of the peace cannot be blamed, because he orders violence to another person according to the codes of justice. In Manu-samhita, the lawbook for mankind, it is supported that a murderer should be condemned to death so that in his next life he will not have to suffer for the great sin he has committed. Therefore, the king’s punishment of hanging a murderer is actually beneficial. Similarly, when Krsna orders fighting, it must be concluded that violence is for supreme justice, and thus Arjuna should follow the instruction, knowing well that such violence, committed in the act of fighting for Krsna, is not violence at all because, at any rate, the man, or rather the soul, cannot be killed; so for the administration of justice, so-called violence is permitted."