CRS 2.0 Updates Expand Scope to Crypto Assets and CBDCs

OECD's CRS 2.0 update incorporates crypto assets and CBDCs into financial asset definitions, tightening global tax oversight on overseas income and digital holdings.

Woofun AI reports that the OECD’s Common Reporting Standard update, commonly referred to as "CRS 2.0", expands the definition of financial assets to include cryptographic assets, central bank digital currencies, and specific electronic currency products. This revision aligns regulatory frameworks with the integration of digital assets into mainstream finance, addressing previous gaps in tax administration regarding overseas insurance and stock trading.

Hong Kong plans to implement CRS 2.0 by 2028 alongside a crypto asset reporting framework, requiring platforms to report fiat-crypto exchanges, swaps, and cross-border transfers for assets such as BTC and ETH. Reports must detail asset names, market caps, holdings, and transaction counts, with retail payments exceeding $50,000 reported individually.

Meanwhile, mainland China tax authorities have begun notifying taxpayers since 2025 to self-assess overseas income from 2022 to 2024, signaling enhanced cross-border tax supervision.