Summary
- The Hong Kong government said it had passed amendments to the Inland Revenue Ordinance to adopt CARF and the revised CRS.
- In Hong Kong, reporting service providers will begin collecting virtual-asset transaction information from 2027, with automatic information exchange among OECD member countries to begin in 2028.
- Christopher Hui said the measure would enhance Hong Kong's credibility and strengthen confidence in long-term investment among virtual-asset businesses, financial institutions and users.
Forecast Trend Report by Period
Hong Kong has established the legal basis for the automatic cross-border exchange of virtual-asset transaction information.
Blockbeats reported on Nov. 4 that the Hong Kong government said the Legislative Council recently passed amendments to the Inland Revenue Ordinance to adopt the Organisation for Economic Co-operation and Development's Crypto-Asset Reporting Framework, or CARF, and a revised Common Reporting Standard, or CRS.
CARF is an international standard for reporting and exchanging tax information related to virtual-asset transactions in a standardized format. Under the ordinance amendments, reporting service providers in Hong Kong must begin collecting designated virtual-asset transaction information from 2027. Based on that data, the Inland Revenue Department will begin automatic information exchanges among OECD member countries from 2028.
The revised CRS will take effect in 2028. Automatic exchanges of financial account information under the new standard will begin in 2029.
Christopher Hui, Hong Kong's secretary for financial services and the treasury, said adopting the latest international information-exchange standards would enhance the city's credibility as an international financial and commercial hub and strengthen confidence in long-term investment among virtual-asset businesses, financial institutions and users.
JOON HYOUNG LEE
