Kapoor was born on 18 September 1993, in Mumbai Her parents are Shashi Ranjan, an actor/director from FTII and the Publisher of GR8 Magazine, and Anu Ranjan, the Founder of The Indian Television Academy. She has an elder sister named Anushka Ranjan, who is also an actress. After completing her schooling from Jamnabai Narsee School, Akansha pursued an acting diploma from Whistling Woods. Kapoor is an American citizen and voted for Kamala Harris in the 2024 US elections