Nigerian Court Postpones Binance Tax Evasion Trial to April 30
A Nigerian court has postponed proceedings in a tax evasion case against cryptocurrency exchange Binance to April 30, following a legal challenge over the method of serving court documents.
The adjournment comes after Binance’s legal representative, Chukwuka Ikwuazom, contested the February 11 court order allowing the Federal Inland Revenue Service (FIRS) to serve documents via email. Ikwuazom argued that the FIRS failed to obtain the required court approval for serving documents outside Nigeria, pointing out that Binance, which is registered in the Cayman Islands, has no physical presence in Nigeria.
“The order permitting substituted service on Binance is improper and should be set aside,” Ikwuazom told the court.
The Nigerian government has accused Binance of contributing to economic instability, claiming its platform facilitated illegal foreign exchange trading that undermined the value of the naira. Authorities are demanding $79.5 billion in damages and an additional $2 billion in unpaid taxes.
Court documents allege that Binance has a “significant economic presence” in Nigeria, making it liable for corporate income tax, even without a registered office in the country. The FIRS is also seeking back taxes for 2022 and 2023, including a 10% annual penalty on any unpaid amounts.
Binance has yet to respond to the latest court developments but previously stated that it is engaging with Nigerian authorities to resolve any outstanding tax obligations. The case continues to draw attention as Nigeria tightens its scrutiny of crypto operations within its borders.
