The US administration has taken another step forward with new regulations that will pave the way for Americans to tax their crypto accounts abroad. Draft rules prepared by the Treasury Department to ensure compliance with the international crypto tax reporting system arrived at the White House today. President Donald Trump's advisors will now begin evaluating the proposals. In the first half of the year, the White House openly encouraged the Treasury Department and the IRS to develop these rules. If these regulations are implemented, the US will formally join the Global Cryptoasset Reporting Framework (CARF), established by the Organisation for Economic Co-operation and Development (OECD), in 2022. CARF is a global system that allows member countries to automatically share their citizens' cryptocurrency information with each other. Its goal is to prevent international tax evasion through crypto. G7 countries such as Japan, Germany, France, Canada, Italy, and the United Kingdom, as well as crypto-friendly regions like the UAE, Singapore, and the Bahamas, have already joined the agreement. Related News: Watch Out: Heavy Token Unlocking in 20 Altcoins This Week - Here's the Day-by-Day, Hour-by-Hour List In a comprehensive crypto policy report released this summer, President Trump’s crypto advisors recommended that the US join CARF. The report also stated: “Implementing CARF would deter US taxpayers from moving their digital assets to foreign exchanges. It would also support the growth of digital assets in the US and alleviate concerns that a lack of reporting disadvantages the country.” However, the White House also emphasized that the new rules should not impose a new reporting obligation on DeFi transactions. The global CARF implementation is scheduled to take effect in 2027. If the regulatory process in the US is completed, American investors' offshore crypto accounts will be subject to a comprehensive tax tracking system for the first time. *This is not investment advice. Continue Reading: More Positive News for Cryptocurrencies from the US – It Was Proposed to Donald Trump
