Bithumb Cryptocurrency Exchange Goes to Court Over $69M Tax Bill

Major South Korean cryptocurrency exchange Bithumb has decided to litigate a near $69 million (80 billion won) tax bill levied by the National Tax Service (NTS).

According to a report published by The Korea Times on Jan. 16, Bithumb filed a complaint with the NTS, suggesting that the imposed tax bill is groundless given that cryptocurrency is not a legally recognized currency. The South Korean tax tribunal now has to decide whether to grant or dismiss the exchange’s motion within 90 days.

NTS imposed a retention tax — an income tax paid to the government by the payer of the income instead of its recipient — which is often withheld or deducted from income in most jurisdictions, according to The Korea Times.

As a consequence, Bithumb is expected to pay the bill before giving the remaining income to its customers. An exchange official commented:

“We paid the full amount and have since been preparing for arguments. We believe we will be given a chance to clarify our stance in…