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White House recommends action on digital asset transaction reporting


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The report recommends implementing the Crypto-Asset Reporting Framework (CARF) for digital asset brokers.


The President's Working Group on Digital Asset Markets released "Strengthening American Leadership in Digital Financial Technology" on July 30, 2025, which includes many recommendations that would affect tax reporting by digital asset brokers. The report compiles policy recommendations, both tax and non-tax, for regulating and encouraging the growth of digital assets.

 

Among other suggestions, the report recommends that Treasury and the IRS "should consider proposing regulations" to implement the Crypto-Asset Reporting Framework (CARF), which is an international regime for reporting key information about a customer's digital asset transactions to its country of tax residence. CARF is an automatic-exchange-of-information regime similar to the Foreign Account Tax Compliance Act (FATCA) and the Common Reporting Standard (CRS). By participating in CARF, the United States would receive data about US persons' digital asset accounts that are held outside the United States, while other countries would receive data from the IRS about their residents' digital asset accounts that are maintained in the United States.

Summary

A White House report focused on regulating and encouraging the growth of digital assets recommends policies and regulations that would meaningfully alter the reporting requirements for digital asset transactions.

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