Hong Kong launches CARF cryptocurrency tax consultation to combat tax evasion.

Odaily Planet Daily reports that Hong Kong stated in a press release on Tuesday that it is seeking public comment on the implementation of CARF and revisions to tax reporting standards. This move is clearly related to the local government's efforts to combat cross-border tax evasion.

Christopher Hui, Hong Kong’s Secretary for Financial Services and the Treasury, said that adopting CARF would demonstrate the government’s “commitment to promoting international tax cooperation and combating cross-border tax evasion.”

In addition to CARF, Hong Kong is also seeking input on adopting the Common Reporting Standard (CRS). Both CARF and CRS are initiatives of the Organisation for Economic Co-operation and Development (OECD) aimed at standardizing various aspects of international tax reporting.

CARF has now been widely adopted globally. The latest list maintained by the OECD shows that 48 countries have committed to adopting CARF by 2027, 27 countries by 2028, and the United States by 2029.