CoinVoice has recently learned that the Hong Kong government has announced it has communicated to the OECD Global Forum on Tax Transparency and Exchange of Information that Hong Kong is committed to implementing the cryptocurrency asset reporting framework (reporting framework) to enhance international tax transparency and combat cross-border tax evasion.
In light of the rapid development of the cryptocurrency asset market, the OECD published a reporting framework in June 2023 to ensure global tax transparency. As an extension of the current 'Common Reporting Standard for Automatic Exchange of Financial Account Information on Tax Matters', the reporting framework establishes a similar mechanism for users or controllers of cryptocurrency assets to automatically exchange tax information related to cryptocurrency accounts and transactions with the tax jurisdiction of their tax residents each year.
To ensure fair and effective global implementation of the reporting framework, the Global Forum has invited all relevant cryptocurrency asset industries and recognized tax jurisdictions directly related to the reporting framework (including Hong Kong) to implement the reporting framework.
Hong Kong is committed to implementing the reporting framework with suitable partners on a reciprocal basis, and such partners must meet the standards for data confidentiality and security. Considering the latest timeline established by the Global Forum, the government initially plans to complete the necessary local legislative amendments by 2026, and to begin the first automatic exchange of information under the reporting framework with relevant tax jurisdictions starting in 2028. [Original link]