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 CARF and OECD Overview

CARF

The Crypto-Asset Reporting Framework (CARF) is an international standard developed by the OECD with the purpose of automatically collecting and exchanging tax information on crypto-asset transactions.

OECD countries are the member nations of the Organisation for Economic Co-operation and Development, which is an intergovernmental economic organization headquartered in France.

Key Details of CARF

  • Purpose: This was set up to prevent tax evasion and stop people from using crypto to bypass traditional global tax transparency laws.
  • Reporting Entities (RCASPs): Crypto-Asset Service Providers - such as crypto exchanges, brokers, and digital asset dealers—must register and collect user tax data.
  • What is Reported:
    • Crypto-to-fiat exchanges (e.g., Eth to US Dollars, Bitcoin to British Pounds/Euros etc)
    • Crypto-to-crypto trades
    • Certain retail payment transactions, exceeding €50,000
    • Transfers
    • Liquidity pool staking
    • Crypto token swaps

  • What is Excluded: Central Bank Digital Currencies (CBDCs), certain electronic money products and low-value NFTs

  • Timelines: The following Jurisdictions will all carry out the first exchanges by 2027:
    Austria, Belgium, Brazil, Bulgaria, Cayman Islands, Chile, Colombia, Croatia, Czechia, Denmark, Estonia, Faroe Islands, Finland, France, Germany, Greece, Guernsey, Hungary, Iceland, Indonesia, Ireland, Isle of Man, Italy, Japan, Jersey, Kazakhstan, Korea, Latvia, Liechtenstein, Lithuania, Luxembourg, Malta, Netherlands, New Zealand, Norway, Poland, Portugal, Romania, San Marino, Slovak Republic, Slovenia, South Africa, Spain, Sweden, Uganda, United Kingdom.

  • Specifically, the UK based Cryptoasset Service Providers, including exchanges such as Coinbase, Kraken, Binance etc will begin collecting client data on 1 January 2026, sending the first annual report to HMRC by 31 May 2027.

  • CARF Implementation Timeline in other Countries: A total of 77 jurisdictions have committed to implementing the OECD's Crypto-Asset Reporting Framework (CARF), with automated information exchanges scheduled to roll out in waves between 2027 and 2029.

    The OECD has established a phased schedule for the first automatic exchanges of crypto-asset tax data across the following additional jurisdictions:
  • 2028 Australia, Canada, Switzerland, Singapore, Hong Kong (China).
  • 2029 United States, Argentina, Azerbaijan, Mexico.
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