Hong Kong Proposes Crypto Tax Reporting Framework in Line with OECD Standards
Hong Kong has initiated a public consultation on adopting the OECD's Crypto-Asset Reporting Framework (CARF), marking a significant step toward standardized tax transparency for digital assets. The proposed amendments to the Inland Revenue Ordinance WOULD enable automatic tax information exchange with partner jurisdictions by 2028, aligning with global efforts to combat cross-border tax evasion.
Financial Services Secretary Christopher Hui emphasized the move as critical to maintaining Hong Kong's status as an international financial hub. The territory has participated in the Common Reporting Standard since 2018, leveraging financial data for tax assessments. The CARF expansion addresses the rapid growth of crypto markets and introduces reporting requirements for novel digital financial products.
