TechFlow news, on November 23, according to Bitcoin.com, the Australian Treasury has invited public feedback on implementing the Organisation for Economic Co-operation and Development (OECD)'s model for reporting crypto assets.
In a consultation paper released on November 21, the Treasury stated that implementing the Crypto-Asset Reporting Framework (CARF), developed by the OECD, would "complement the government's efforts to strengthen tax transparency." The paper will explore the policy merits of incorporating the OECD model into domestic tax law and consider an implementation timeline that minimizes compliance costs.
The rapid growth of the cryptocurrency market is said to pose challenges for governments regarding tax evasion and avoidance. To address this, the OECD developed CARF to improve international tax transparency by ensuring crypto-related information is reported in a standardized manner. The framework is expected to enhance the ability of OECD countries to monitor and tax crypto-related activities, thereby reducing opportunities for tax evasion and avoidance.
CARF will require crypto intermediaries, such as exchanges and wallet providers, to report specific crypto transactions to tax authorities. This includes information on buying and selling of crypto assets. As explained in the consultation paper, Australia expects CARF reporting to commence at some point in 2026.
