FameEX Hot Topics | Over 40 Nations Adopt International Crypto Reporting Framework

More than 40 countries have collectively committed to implementing the Crypto-Asset Reporting Framework (CARF) developed by the Organisation for Economic Co-operation and Development (OECD) under the direction of the G20. The adoption of this framework is aimed at achieving widespread, consistent, and timely reporting of crypto transactions for tax compliance purposes. The joint statement, issued by 48 jurisdictions, including over 40 countries and territories, highlights the importance of this initiative in enhancing tax transparency and combating tax evasion.

The list of participating nations includes Armenia, Australia, Austria, Barbados, Belgium, Belize, Brazil, Bulgaria, Canada, Chile, Croatia, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Iceland, Ireland, Italy, Japan, Korea, Liechtenstein, Lithuania, Luxembourg, Malta, Mexico, Netherlands, Norway, Portugal, Romania, Singapore, Slovakia, Slovenia, South Africa, Spain, Sweden, Switzerland, the U.K., and the U.S. Additionally, the Crown Dependencies of Guernsey, Jersey, and the Isle of Man, as well as the U.K.’s Overseas Territories, such as the Cayman Islands and Gibraltar, have also expressed their commitment to this framework.

The joint statement emphasizes the significance of the Crypto-Asset Reporting Framework (CARF) in enhancing tax compliance efforts and curbing tax evasion. By implementing CARF, these nations aim to establish a standardized approach to reporting tax information on cryptocurrency transactions. This data will be automatically exchanged with the taxpayers' jurisdictions of residence on an annual basis. The framework seeks to adapt to the dynamic and rapidly evolving crypto-asset market while preserving recent advancements in global tax transparency.