Hong Kong launches public consultation on CARF encrypted tax information exchange, with implementation planned for 2028.

PANews reported on December 9th that, according to a statement from the Hong Kong Special Administrative Region Government, the Financial Services and the Treasury Bureau today launched a public consultation to amend the Inland Revenue Ordinance to adopt the OECD's Crypto Asset Reporting Framework (CARF) and update the Common Reporting Standard (CRS). The authorities plan to complete the legislation by 2026, exchange crypto asset tax information with eligible jurisdictions from 2028, and implement the updated CRS in 2029. The new regulations also propose mandatory registration for financial institutions, increased penalties, and strengthened enforcement to align with OECD scrutiny and maintain the reputation of an international financial center.

The latest OECD list shows that 76 countries have committed to sharing encrypted 48 countries plan to implement it in 2027, 27 in 2028, and the United States aims for 2029. Switzerland has postponed its implementation to 2027; Brazil is considering joining; and the United States is evaluating the IRS scheme. Another 53 countries have signed a multilateral competent authority agreement to achieve automatic data exchange.