Key Takeaways:
- Indian authorities demand $86 million in unpaid GST from Binance, marking the first tax demand on a crypto exchange by India.
- Binance, banned in January 2024 for regulatory noncompliance, aims to resume Indian operations after settling its tax dues.
- Binance earned approximately 4,000 crore rupees from Indian transaction fees, credited to a Seychelles-based entity, Nest Services Limited.
Indian authorities have demanded $86 million in unpaid Goods and Services Tax (GST) from Binance, a prominent crypto exchange.
Banned in January 2024 for regulatory noncompliance, Binance plans to resume Indian operations after settling its tax dues.
BINANCE HIT WITH $86M TAX BILL IN INDIA OVER GST REGISTRATION ISSUES
— BSCN (@BSCNews) August 6, 2024
– Indian authorities have slapped Binance with an $86 million tax bill.
– The Directorate General of GST Intelligence (DGGI) in Ahmedabad has issued a show cause notice demanding the payment due to alleged… https://t.co/RicCOfVbBa pic.twitter.com/9lyFBepADH
The Directorate General of Goods and Service Tax Intelligence (DGGI) identified that Binance earned approximately 4,000 crore rupees from Indian transaction fees, credited to a Seychelles-based Binance entity, Nest Services Limited.
This is the first tax demand on a crypto exchange by India.
Previously, Binance ignored tax notices sent to its offices in Seychelles, the Cayman Islands, and Switzerland, but has now appointed local counsel.
INDIA’S $86M TAX SLAM ON BINANCE
— Mario Nawfal’s Roundtable (@RoundtableSpace) August 6, 2024
India just dropped an $86 million tax bomb on Binance, claiming they didn’t sort out their GST game for Indian traders.
This is a massive flex from India, showing they’re serious about regulating crypto.
Sources: CoinGape pic.twitter.com/jUKQyWAGeM
Indian law mandates a 1% tax deducted at source (TDS) on crypto transactions and a 30% tax on crypto investment profits.
Indian authorities are cracking down on offshore exchanges like Binance that failed to comply with GST regulations, and similar actions are expected against other foreign exchanges.
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Fleming Airunugba, a seasoned Web3 and crypto content expert, leverages his deep understanding of blockchain technology to bring the latest and most impactful news to the crypto community.
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