White House weighs IRS bid to tax foreign crypto accounts via CARF
The White House is reviewing a proposal to join an international crypto tax standard that could deter Americans from moving their digital assets to offshore exchanges.
The White House is reviewing the Internal Revenue Service’s proposal to join the global Crypto-Asset Reporting Framework, which would provide the tax department with access to Americans’ foreign crypto account data.
Adoption of the “Broker Digital Transaction Reporting” proposal — submitted to the White House last Friday — would put the US crypto tax system in line with 72 other countries that have committed to implementing CARF by 2028.
While the proposal wasn’t categorized as “economically significant” by the IRS, the rule would force Americans to be far more stringent in reporting capital gains tax from foreign crypto platforms.