carf

The Hong Kong Securities and Futures Professionals Association submitted a position paper on the implementation of the Crypto Asset Reporting Framework (CARF) and CRS revisions in Hong Kong, supporting mandatory registration for RCASP and RFI to align with OECD standards and maintain Hong Kong's status as a financial center. The association recommends providing a simplified or lightweight registration and reporting mechanism for "zero reporting" entities to reduce compliance costs, while also supporting an administrative penalty mechanism to replace criminal liability.In addition, the association supports the "dual reporting" default option for CARF and CRS to reduce system complexity and the risk of underreporting, and calls for the provision of an API reporting interface to meet the automated compliance needs of large crypto institutions.

According to market news, Japan has officially implemented the OECD's Crypto Asset Reporting Framework (CARF) starting January 1, 2026. This is a new mechanism aimed at enabling tax authorities around the world to share information on crypto asset transactions.Japan decided to introduce this mechanism through tax reform, and the National Tax Agency published a user-oriented brochure before its implementation last December, while also advancing preparations to collect information through exchanges. Affected by the implementation of this system, the Japanese crypto exchange Coincheck sent a notification to all users on January 6, requesting them to submit information such as their "tax residence country." Other exchanges in Japan will also gradually advance their information collection procedures. Existing users who opened accounts before the end of 2025 must submit their information by December 31, 2026, while users who open accounts after January 1 of this year must complete the declaration during the account opening process. Failure to submit the above information within the specified deadline, or submitting false content, may result in penalties under the law.

The Crypto-Asset Reporting Framework (CARF), developed under the leadership of the Organisation for Economic Co-operation and Development (OECD), officially came into effect on January 1, 2026, covering the first batch of 48 countries and regions.The framework requires Crypto Asset Service Providers (CASPs) to disclose user transaction information to tax authorities and submit annual reporting, covering activities such as transactions, exchanges, and asset transfers, to promote global tax transparency and enhance cross-border data exchange. CARF aims to fill the regulatory gap in the digital asset sector within the existing Common Reporting Standard (CRS) and plans to initiate regular information exchange among member countries starting in 2027. All EU member states, the UK, Brazil, the Cayman Islands, and other regions will be the first to participate, while countries like Australia, Canada, Singapore, Switzerland, and the UAE are expected to join by 2028. The United States plans to connect to the system in 2029. The OECD stated that this framework brings crypto assets under tax regulatory standards comparable to those of the traditional financial system, significantly reducing the space for tax evasion using crypto assets.

According to the OECD's Crypto Asset Reporting Framework (CARF), 48 jurisdictions, including the UK and the EU, will officially begin collecting standardized data in 2026.The framework requires relevant service providers to collect more detailed customer information, verify tax residency, and report users' balances and transactions to local tax authorities annually. This data will then be shared cross-border according to existing information exchange agreements. Lucy Frew, a partner at the international law firm Walkers, stated on the X platform that CARF will fundamentally change the compliance model for digital asset businesses and their clients. For exchanges, this will involve redesigning Know Your Customer and anti-money laundering processes, as well as upgrading reporting systems. Asher Tan, CEO of the UK licensed exchange CoinJar, stated that users will be required to provide additional tax residency information. Meanwhile, tax professionals pointed out that while CARF does not create new taxes, it makes existing rules easier to enforce, and tax authorities will be able to identify reporting discrepancies more efficiently through standardized machine-readable data, advising users to resolve historical tax issues during the voluntary disclosure period.

Hong Kong stated in a press release on Tuesday that it is seeking opinions on the implementation of CARF and the modification of tax reporting standards. This move is clearly related to the local government's efforts to combat cross-border tax evasion. Hong Kong's Secretary for Financial Services and the Treasury, Christopher Hui, stated that the adoption of CARF will demonstrate the government's "commitment to promoting international tax cooperation and combating cross-border tax evasion."In addition to CARF, Hong Kong is also seeking opinions on the adoption of the Common Reporting Standard (CRS). Both CARF and CRS are initiatives of the Organisation for Economic Co-operation and Development (OECD) aimed at standardizing various aspects of international tax reporting. Currently, CARF has been widely adopted globally. The latest list maintained by the OECD shows that 48 countries have committed to adopting CARF by 2027, 27 countries have committed to adopting it by 2028, and the United States has committed to adopting it by 2029.

According to Cointelegraph, the Swiss Federal Council and the State Secretariat for International Financial Affairs announced on Wednesday that the implementation date for the rules on automatic exchange of cryptocurrency account information with foreign tax authorities will be postponed until 2027.The Crypto Asset Reporting Framework (CARF) rules will still be written into law as originally planned on January 1, 2026, but the implementation will be delayed by at least one year. The Swiss government stated that the reason for the delay is that the tax committee has suspended the review of partner countries with which Switzerland intends to exchange data under CARF. CARF is a global framework approved by the Organisation for Economic Co-operation and Development (OECD) in 2022, aimed at curbing tax evasion through cryptocurrency platforms by sharing cryptocurrency account data. Currently, 75 countries, including Switzerland, have signed the framework, with plans for implementation in the next 2 to 4 years.

The White House has begun reviewing the proposal submitted by the Treasury Department to join the Crypto Asset Reporting Framework (CARF), which will allow the IRS to obtain data on Americans' overseas crypto accounts.CARF was initiated by the OECD in 2022, aiming to combat offshore tax evasion through automatic information sharing among countries. Currently, dozens of countries, including the G7, have signed on. The Trump administration supported the proposal, believing it would curb the outflow of crypto assets and ensure that U.S. regulations align with international standards. The global implementation of CARF is expected to start in 2027.

According to Decrypt, the Trump administration is advancing a regulatory proposal aimed at authorizing the IRS to obtain key information about citizens' overseas cryptocurrency accounts and implement taxation.According to a government website announcement, the Treasury Department's proposal for the U.S. to join the international cryptocurrency tax reporting framework was submitted to the White House on Friday, and the president's advisory team will review it. Earlier this year, the White House urged the Treasury Department and the IRS to develop relevant rules to facilitate the U.S. joining the "Cryptocurrency Asset Reporting Framework" established by the OECD in 2022. This multilateral agreement requires member countries to automatically share citizens' cryptocurrency asset information to combat cross-border tax evasion. Currently, Japan, Germany, France, Canada, Italy, the UK, as well as cryptocurrency hubs like the UAE, Singapore, and the Bahamas have signed on. In the cryptocurrency policy report released this summer, Trump's cryptocurrency advisory team recommended that the U.S. join this framework. The White House noted at the time: "Implementing CARF will prevent taxpayers from transferring digital assets to overseas trading platforms, promote the growth of digital asset applications in the U.S., and avoid putting the U.S. at a competitive disadvantage due to a lack of reporting mechanisms." The report called for the Treasury Department and the IRS to study specific implementation plans but emphasized that "new reporting requirements should not be set for DeFi transactions." According to the plan, the global deployment of CARF is set to officially launch in 2027.

The White House is currently reviewing proposed rules submitted by the U.S. Department of the Treasury that would allow the United States to join the international Crypto Asset Reporting Framework (CARF). Once approved and implemented, this framework will enable the Internal Revenue Service (IRS) to automatically obtain transaction information about U.S. citizens' cryptocurrency accounts held overseas, in order to combat international tax evasion.CARF is a global agreement created by the Organisation for Economic Co-operation and Development (OECD) in 2022, aimed at increasing the transparency of crypto asset transactions through the automatic exchange of information between member countries. Advisors to former President Trump had previously released a report recommending that the U.S. adopt CARF, arguing that it would prevent U.S. taxpayers from transferring digital assets to overseas digital asset exchanges and promote the development of the U.S. digital asset market.CARF has been signed and adopted by dozens of countries, including most G7 member states and major crypto hubs such as Singapore and the UAE, with a global implementation plan set to begin information exchange in 2027. The White House emphasized that the proposed CARF rules should not impose any new reporting requirements on decentralized finance (DeFi) transactions.

ChainCatcher news, according to Cointelegraph, the UAE Ministry of Finance has announced that it has signed the Multilateral Competent Authority Agreement for Automatic Exchange of Information under the Crypto Asset Reporting Framework (CARF), formally committing to implement the global digital asset reporting regime of the Organisation for Economic Co-operation and Development (OECD).The framework will establish an automatic exchange mechanism for tax-related information on crypto asset activities among participating jurisdictions to enhance international transparency and tax compliance cooperation. The UAE Ministry of Finance stated that the framework will be launched in 2027, with preliminary information exchange expected to begin in 2028. The UAE joins 50 jurisdictions that have committed to implementing CARF in the coming years, including countries such as New Zealand, Australia, and the Netherlands. Previously, South Korea had also finalized the implementation of the CARF agreement.

ChainCatcher news, according to DL News, starting from January 1, 2026, cryptocurrency companies operating in the UK will be required to collect and report detailed user and transaction data in accordance with a new regulation introduced by the UK tax authority.This change stems from the UK's adoption of the Crypto Asset Reporting Framework (CARF) — a global standard aimed at combating tax evasion and aligning the transparency of the crypto industry with that of the banking system.Under the new regulation, crypto platforms must identify each user and record their legal identity information, address, and taxpayer identification number.Additionally, platforms must record every transaction involving UK users or users from other CARF participating countries, including details such as transaction amount, asset type, quantity, and nature of the transfer.These requirements also apply to overseas companies providing services to UK customers. If the reported information is incorrect or incomplete, each user may face a fine of up to £300.

ChainCatcher news, according to Bitcoin.com, the Australian Treasury has invited the public to provide feedback on the implementation of the OECD's Crypto Asset Reporting Framework (CARF).In a consultation paper released on November 21, the Treasury stated that implementing the CARF developed by the OECD would "complement the government's efforts to enhance tax transparency." The document will explore the policy advantages of incorporating the OECD model into domestic tax law and consider a timeline for implementation that can minimize compliance costs.It is claimed that the rapid growth of the cryptocurrency market has posed challenges for the government in terms of tax evasion and avoidance. To address this issue, the OECD developed the CARF, aimed at improving international tax transparency by ensuring that crypto-related information is reported in a standardized manner. The framework is expected to enhance the ability of OECD countries to monitor and tax crypto-related activities, thereby reducing opportunities for tax evasion and avoidance.The CARF will require crypto intermediaries, such as exchanges and wallet providers, to report specific crypto transactions to tax authorities. This includes information on the buying and selling of crypto assets. As explained in the consultation paper, Australia expects CARF reporting to begin sometime in 2026.

ChainCatcher message, according to a supplementary document of the 2024 budget, Canada is expected to adopt the International Crypto Asset Reporting Framework (CARF) for taxation before 2026. CARF will impose new reporting requirements on Crypto Asset Service Providers (CASP), such as cryptocurrency exchanges, crypto asset brokers and dealers, and crypto asset ATM operators, whether they are individuals or business entities.