Kathy
Feb 21, Friday, Nigeria: The Federal Government of Nigeria filed a lawsuit against Binance Holdings Limited a Japanese company, demanding $81.5 billion in total, including $79.5 billion for economic losses and 42 billion in back taxes.
The lawsuit, filed on February 19, 2025, blames Binance for Nigeria’s currency woes and alleges that the exchange has a “significant economic presence” in the country, making it liable for corporate income tax.
Nigeria is seeking $79.5 billion for economic losses, which it claims were caused by Binance’s operations in the country. The government presence in Nigeria is therefore liable for corporate income tax. In 2024, Nigerian authorities detained two Binance executives after crypto websites emerged as platforms for trading the local naira currency.
Additionally, (FIRS) the Federal Inland Revenue Service is demanding a 26.5 % interest rate on unpaid taxes, in line with the Central Bank of Nigeria’s lending rate. FIRS dais the Binance failed to register for tax compliance in Nigeria, violating key financial regulations. The agency alleged that the cryptocurrency platform did not adhere to the country’s Companies Tax Act, the Federal Inland Revenue Service (Establishment) Act 2007, and the CBN Regulatory Framework for Mobile Money Services.
Moreover, FIRS has demanded $2 billion in back taxes for 20222 and 2023, bringing the total financial claim to $81.5 billion- an amount exceeding Binance’s current valuation by over 30%.
Binance which is not registered in Nigeria has not yet commented on the lawsuit. However, the company has previously stated it is working with Nigeria’s Federal Inland Revenue Service (FIRS) to resolve potential tax liabilities. Keep Reading Questiqa.com and Questiqa.us.
Olivia
Stacy
