Australia Seeks Input On International Crypto Reporting Standards

According to Cointelegraph, Australia has initiated a consultation process to gather feedback on implementing an international reporting standard for crypto assets. The Department of the Treasury began this consultation on November 21, focusing on the Organisation for Economic Co-operation and Development’s (OECD) Crypto Asset Reporting Framework (CARF). This framework aims to standardize the collection of tax information related to crypto-asset transactions and facilitate information exchange between tax authorities. The consultation paper outlines two potential approaches for integrating CARF into Australian tax law. One option is to directly adopt the framework, while the other suggests a more customized approach tailored to the Australian Taxation Office's specific needs. The OECD developed CARF in 2022 to address global tax evasion involving crypto assets, providing tax authorities with enhanced visibility into crypto transactions and users. In 2023, 47 countries committed to incorporating CARF into their legal systems, with plans to begin information exchanges by 2027. Australia is among the nations committed to implementing this new framework for crypto reporting. The country is actively working towards integrating CARF into its tax legislation by engaging with stakeholders. Under CARF, crypto exchanges and wallet providers will be required to report certain crypto transactions to the relevant tax authorities, including details of digital asset purchases. The consultation paper suggests that CARF reporting requirements could commence in 2026, allowing for the first exchanges of information between the Australian Taxation Office and other tax authorities by 2027. This timeline is designed to give crypto providers sufficient time to update their systems in preparation for the new reporting obligations. In addition to Australia, other countries are also moving forward with integrating CARF into their domestic tax laws. Canada announced its intention to apply the framework by 2026, while Switzerland initiated a public consultation on May 18 to incorporate the standards into its local tax regulations, aiming to enhance tax transparency for crypto assets. New Zealand has introduced the framework in a new tax bill, with the Minister of Revenue proposing its implementation. Crypto providers in New Zealand are expected to start collecting information by April 1, 2026, and submit it by June 30, 2027.