Some tokens will take a percentage of a token amount when any transfer of the token is performed. These kinds of tokens are known as Buy / Sell Tax tokens.
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​Example:

If you were to send someone 10 cryptocurrency tokens with a 1% trade tax, the recipient would actually receive 9.9 tokens, while the remaining 0.1 tokens would be collected as a tax. Similarly, if there is a 5% tax on the sale of a cryptocurrency token, a portion of the profits made from selling the token would automatically be deducted and paid as tax.

Trading of these tokens often wreaks havoc on settlement contracts as they are not aware of this mechanism and wind up attempting to sell less or receive less than what the quote demands. In some circumstances you can buy these tokens by setting a high enough slippage percentage (between 10% and 20%) to accommodate the token tax, but your mileage may vary.

Fortunately, Buy / Sell tax tokens are tradeable on Matcha! Powered by 0x API, Matcha users can now trade Buy and Sell Tax tokens.

With our recent upgrade to 0x API v2, Matcha can detect if a token you are buying or selling has a buy or sell tax built function built into it. In the near future, we will be able to provide you with more details about the token so you can make an informed decision about trading it.
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No. The tax for the token goes to the token project, not Matcha. Matcha may collect a fee if the token was traded with Matcha Auto, but not the funds associated with the Buy / Sell Tax token.

No. Per our Terms of Service, all users must do their own research before buying or selling any token, including Buy / Sell Tax tokens. Just because it is available to trade on Matcha does not mean that Matcha endorses that token or its stated mission/goal.

Additionally, users should always research available liquidity on sites like Dexscreener.com, and token contract auditing through GoPlus or TokenSniffer.

Matcha allows users to swap Buy / Sell tax tokens through 0x API. It is still important to understand the fees and taxes associated with cryptocurrency tokens before buying or using them, and users must do their own research when trading them. But they can now be traded on Matcha!