Hong Kong Sets New Rules for Crypto Tax Sharing

The Hong Kong government plans to roll out a new law on June 3 that will make the country share tax data about cryptocurrency trades with other nations every year. The proposal follows guidance from the Organisation for Economic Co‑operation and Development, which issued a framework for reporting crypto‑asset transactions. Under the plan, companies that deal with digital money and have ties to Hong Kong must register with the Inland Revenue Department. They will also need to check their customers’ identities, keep records, and submit annual reports on the activity.The move is part of a global push to tighten rules around virtual currencies and improve transparency for tax authorities. By adopting the OECD standards, Hong Kong hopes to keep up with other financial centres that are tightening their crypto‑regulation. The new law will also strengthen the country’s compliance with the Common Reporting Standard, which requires more detailed information on digital financial products. These changes aim to prevent tax evasion and help authorities track how money flows in the rapidly growing crypto market.