Indian authorities have demanded nearly $86 million in unpaid Goods and Services Tax (GST) from Binance, a leading cryptocurrency exchange. This action, taken by the Directorate General of Goods and Service Tax Intelligence (DGGI) on August 6, 2024, marks the first instance of the Indian government imposing a tax demand on a crypto exchange. Binance, along with several other offshore exchanges, was banned in January 2024 for noncompliance with local regulations. However, Binance plans to resume its operations in India after settling its tax dues. The DGGI's investigation revealed that Binance earned approximately 4,000 crore rupees from transaction fees charged to Indian customers, which were credited to a Seychelles-based entity, Nest Services Limited​ .Indian law mandates a 1% tax deducted at source (TDS) on every crypto transaction and a 30% tax on profits from crypto investments. While domestic exchanges like WazirX and CoinDCX have implemented systems to comply with these requirements, many offshore exchanges, including Binance, failed to do so initially. This case sets a precedent for how India might handle similar situations with other foreign crypto platforms​ .