Switzerland Pushes Back Crypto Data Sharing to 2027

Switzerland has pushed back its plan to automatically share crypto account information with foreign tax authorities until 2027, and is still deciding which countries will be included in the data-sharing system.

The government explained that its tax committee has paused discussions on which countries Switzerland will share crypto tax data under the Crypto-Asset Reporting Framework(CARF), which is the main reason for the delay.

According to the Swiss Federal Council and the State Secretariat for International Finance, the CARF rules will still be added to Swiss laws on January 1 as planned, but the actual exchange of data won’t begin until at least a year later. 

The change of CARF’s timeline gives Swiss entities two years to improve compliance systems, check tax IDs, and set up blockchain reporting tools. Crypto service providers such as exchanges, custodians, and brokers will also have additional time to collect and send transaction data to the Swiss Federal Tax Administration, which will share it with partner countries.

The delay comes after the Organisation for Economic Co-operation and Development (OECD) approved CARF in 2022 as part of a global effort to help countries share crypto accounts information and reduce tax evasion through crypto platforms.

The Swiss government also said it is updating some of its crypto tax rules and adding temporary measures to make it easier for Swiss crypto companies to follow the new CARF requirements.

OECD Lists Countries Adopting Global Crypto Tax Reporting Standards

The OECD lists 75 countries, including Switzerland, that plan to follow the CARF crypto tax rules, whereas Argentina, El Salvador, Vietnam, and India have not signed up yet.

Earlier this month, Reuters reported Brazil is considering a tax on international crypto transfers to bring its local rules in line with CARF standards.

At the same time, the U.S. White House recently reviewed the IRS’s plan to join CARF, aiming to strengthen capital gains tax reporting for Americans using foreign crypto exchanges.