WazirX was accused of not paying $5.5 million in taxes
Indian cryptocurrency exchange WazirX (bought by Binance in 2021) avoided paying a total of nearly $5.5 million in taxes, the Indian Revenue Service said in a tweet. As a result of the revealed violations the exchange was fined for $6.6 million.
Claims of the regulator are related to the exchange's native token - WRX. It is reported that the exchange failed to pay a tax of 18% on goods and services, which also applies to the tokens.
Cryptocurrency on WazirX can be purchased in two ways: via the Indian rupee or with WRX. In cases where a trader chooses to buy via traditional money, the transaction is subject to a 0.2% commission. The exchange paid tax on this commission. However, when the trader chose to buy through WRX, the exchange charged 0.1% and paid no tax.
