The Hong Kong government has reaffirmed its intention to adopt a global crypto tax reporting framework by 2028, according to a recent statement.

This decision followed recent discussions with the Organization for Economic Cooperation and Development (OECD) Global Forum on Transparency and Exchange of Tax Information.

The framework, introduced in June 2023, expands the existing Common Reporting Standard (CRS) to cover crypto asset transactions. It establishes an automated system for sharing crypto account data across tax jurisdictions where users reside, aiming to improve transparency and curb cross-border tax evasion.

Hong Kong authorities are preparing legislative amendments to align with the framework, with completion expected by 2026.

Once enacted, the first automatic exchange of crypto-related information with participating jurisdictions will take place in 2028. The shared data will enable tax authorities across countries to effectively enforce global tax compliance.

Since 2018, the city has been sharing financial account information with tax partners annually to support assessments and detect evasion.

Secretary for Financial Services and the Treasury Christopher Hui highlighted the initiative’s significance, underscoring Hong Kong’s dedication to international tax cooperation.

Hui emphasized that this step is vital to maintaining the city’s status as a global financial and business hub while reinforcing its responsible approach to tax governance. He stated:

“The implementation is crucial for maintaining Hong Kong’s reputation as an international financial and business centre. It also reflects Hong Kong’s ongoing efforts in promoting international tax co-operation as a responsible tax jurisdiction.”

The move is part of Hong Kong’s broader efforts to solidify its status as a leading crypto-friendly hub. Authorities have rolled out initiatives such as proposed tax breaks for hedge funds and private equity firms to attract global investors.

Additionally, a stablecoin regulation bill published earlier this month outlines guidelines for issuers and marketers, reinforcing Hong Kong’s push for regulatory clarity in the digital asset space.

The post Hong Kong’s path to crypto-friendly leadership expands with tax framework adoption appeared first on CryptoSlate.

The Hong Kong government has reaffirmed its intention to adopt a global crypto tax reporting framework by 2028, according to a recent statement.

This decision followed recent discussions with the Organization for Economic Cooperation and Development (OECD) Global Forum on Transparency and Exchange of Tax Information.

The framework, introduced in June 2023, expands the existing Common Reporting Standard (CRS) to cover crypto asset transactions. It establishes an automated system for sharing crypto account data across tax jurisdictions where users reside, aiming to improve transparency and curb cross-border tax evasion.

Hong Kong authorities are preparing legislative amendments to align with the framework, with completion expected by 2026.

Once enacted, the first automatic exchange of crypto-related information with participating jurisdictions will take place in 2028. The shared data will enable tax authorities across countries to effectively enforce global tax compliance.

Since 2018, the city has been sharing financial account information with tax partners annually to support assessments and detect evasion.

Secretary for Financial Services and the Treasury Christopher Hui highlighted the initiative’s significance, underscoring Hong Kong’s dedication to international tax cooperation.

Hui emphasized that this step is vital to maintaining the city’s status as a global financial and business hub while reinforcing its responsible approach to tax governance. He stated:

“The implementation is crucial for maintaining Hong Kong’s reputation as an international financial and business centre. It also reflects Hong Kong’s ongoing efforts in promoting international tax co-operation as a responsible tax jurisdiction.”

The move is part of Hong Kong’s broader efforts to solidify its status as a leading crypto-friendly hub. Authorities have rolled out initiatives such as proposed tax breaks for hedge funds and private equity firms to attract global investors.

Additionally, a stablecoin regulation bill published earlier this month outlines guidelines for issuers and marketers, reinforcing Hong Kong’s push for regulatory clarity in the digital asset space.

The post Hong Kong’s path to crypto-friendly leadership expands with tax framework adoption appeared first on CryptoSlate.