Minister of State for Finance Pankaj Chaudhary, in a written response to the Lok Sabha, revealed that the government has uncovered a massive Rs 824.14 crore Goods and Services Tax (GST) evasion involving 17 cryptocurrency exchanges in India.
The Central GST authorities have initiated investigations into these firms, with one of the most significant cases involving Nest Services Ltd, a company linked to Binance Group, accused of evading Rs 722.43 crore.
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The government has already recovered Rs 122.29 crore in taxes, penalties, and interest as part of the ongoing crackdown. Among the exchanges under scrutiny, Zanmai Labs Pvt (WAZIRX) is found to have evaded Rs 40.51 crore, CoinDCX is accused of evading Rs 16.84 crore, and CoinSwitch Kuber faces a Rs 14.13 crore GST evasion.
In addition to corporate cases, four investors involved in virtual digital assets have been investigated, with Rs 1.76 crore in GST evasion detected. The authorities have successfully recovered Rs 2.40 crore from these individuals in taxes, penalties, and interest.
Chaudhary also noted that 47 Virtual Digital Asset Service Providers Advt (VDA SPs) have been registered as Reporting Entities with the Financial Intelligence Unit-India under the Prevention of Money Laundering Act, 2002, highlighting the government’s increasing efforts to regulate the cryptocurrency sector.
It was earlier reported that India’s cryptocurrency community has shown resilience to heavy taxation.
