Binance, the world’s largest cryptocurrency exchange, has formally challenged a nearly $86 million tax notice issued by India’s Directorate General of Goods and Services Tax Intelligence (DGGI), according to a source familiar with the matter.
The DGGI, which operates under the Ministry of Finance, issued the showcause notice to Binance last week. The notice alleges that Binance failed to collect and remit taxes from Indian customers trading on its platform. The period in question spans from July 2017 to March 2024.
The DGGI, based in Ahmedabad, is responsible for collecting and analyzing intelligence related to indirect tax evasion. It has directed Binance to respond to the notice, addressing the alleged tax discrepancies.
The situation reflects ongoing scrutiny and regulatory challenges faced by major cryptocurrency exchanges as they navigate complex tax and compliance landscapes in various jurisdictions.
