Binance, one of the world’s largest cryptocurrency exchanges, does not report to tax authorities, according to a person familiar with the matter.
The revelation raises questions about the transparency of the billion-dollar company, which is headquartered in Malta but has significant operations in Hong Kong.
It also highlights the challenges regulators face in trying to bring cryptocurrency trading into the mainstream.
Binance was founded in 2017 by Changpeng Zhao, a former trader at Wall Street firm Merrill Lynch. It has grown rapidly to become one of the most popular cryptocurrency exchanges, with a 24-hour trading volume of more than $1 billion.
The company has been largely unregulated and has faced criticism for lax anti-money laundering controls. In March, Japanese regulators ordered Binance to stop operating in the country after it failed to register with authorities.
NOTE: WARNING: Binance does not report any data to tax authorities. It is the user’s responsibility to ensure all applicable taxes and government regulations are adhered to. Failure to do so can result in severe penalties and/or criminal prosecution.
Binance is not required to disclose its financial information because it is not listed on a stock exchange. But the person familiar with the matter said the company does not provide information about its customers or their trading activity to any government or tax authority.
The person spoke on the condition of anonymity because they were not authorized to speak publicly about the matter.
A Binance spokeswoman declined to comment.
It is unclear how much tax revenue Binance generates or where it is generated. The company does not have a public presence in Malta, where it is headquartered, and its customer service representatives are located in Asia.
Binance’s website says it “plans to use Malta as a base for its expansion into Europe” but does not provide any details about its operations there. A Maltese government spokesman declined to comment.
9 Related Question Answers Found
It is a common misconception that Binance does not report to the IRS. This is simply not true. While Binance is not required to report to the IRS, they do so voluntarily.
Binance, one of the world’s largest cryptocurrency exchanges, does not report taxes to the IRS. This is because the exchange is based in Malta, which has a tax haven status. Binance has also been known to be opaque about its operations, which has led to concerns about its tax compliance.
It is no secret that Binance is one of the most popular cryptocurrency exchanges in the world. Based in Malta, the exchange has seen tremendous growth since its launch in 2017. In fact, it is now the largest cryptocurrency exchange by trading volume.
Binance, one of the world’s largest cryptocurrency exchanges, is reportedly facing scrutiny from the US Internal Revenue Service (IRS). According to a report from Bloomberg, the IRS is investigating whether or not Binance has been properly reporting US-based users’ trading activity and whether or not it has been paying proper taxes on that activity. The report cites “people familiar with the matter” and says that the investigation is in its early stages.
The United States Internal Revenue Service (IRS) has not yet released any official guidance on the taxation of cryptocurrencies. However, that doesn’t mean that crypto investors in the US don’t have to pay taxes on their digital assets. In fact, the IRS has been clear that it views cryptocurrencies as property, and that means they are subject to capital gains taxes.
If you are a US-based customer of Binance, the short answer is “no”. Binance is not required to send US customers a 1099 tax form. Binance is a cryptocurrency exchange that allows its users to trade digital assets such as Bitcoin, Ethereum, and Litecoin.
Binance US, the American arm of the world’s largest cryptocurrency exchange, does not currently report to the IRS. However, this may change in the future as the exchange continues to grow and expand its operations in the United States. Binance US is a relatively new exchange, having only launched in September of 2019.
Binance US, the American arm of the world’s largest cryptocurrency exchange, does not currently report to the IRS. However, this could change in the future if the exchange is required to do so by US regulators. Binance US is a relatively new exchange, having only launched in September of 2019.
The popular cryptocurrency exchange Binance is known for its low fees, wide range of coins, and fast transaction processing. But one thing it’s not known for is tax compliance. So, does Binance have tax forms?
