New Crypto Tax Rules Hit 40+ Countries as HMRC Targets Exchanges

A sweeping crackdown on crypto tax evasion took effect Thursday as the UK and 47 other countries launched mandatory transaction reporting for digital assets under new OECD-developed rules.

According to Financial Times, major crypto exchanges must now collect complete transaction records for UK customers, including purchase prices, sale amounts, and profits, while simultaneously reporting users’ tax residency details to HM Revenue & Customs.

The UK sits among the first wave implementing the Cryptoasset Reporting Framework, with HMRC set to automatically share exchange-supplied data with participating tax authorities starting in 2027.

All EU countries, the Channel Islands, Brazil, the Cayman Islands, and South Africa will receive information under the system.

Ending Crypto Anonymity Across Borders

The unprecedented global coordination marks a fundamental shift in crypto oversight.

Seventy-five countries have committed to implementing CARF rules, with crypto hubs including the UAE, Hong Kong, Singapore, and Switzerland scheduled to begin enforcement in 2027 and start exchanging information in 2028, as per FT.

The United States will implement the framework in 2028 and begin exchanges in 2029.

“This is the beginning of the end for crypto investors who thought they could invest and gain from crypto in secrecy from tax and other law enforcement agencies,” said Andrew Park, tax investigations partner at Price Bailey.

The enforcement push follows years of preparation, with HMRC tripling the number of compliance letters sent to suspected tax evaders. The agency sent 65,000 notices in the 2024-25 tax year, compared to 27,700 the previous year.

For the first time, this year’s self-assessment tax return form includes a dedicated section for declaring crypto gains and losses.

Despite heightened scrutiny, retail behavior suggests continued confidence in digital assets.

“In the weeks leading up to the Budget, GBP deposits on CoinJar were 16% higher than withdrawals, which suggests people are taking a longer-term view rather than pulling back,” Asher Tan, CEO and co-founder of FCA-registered exchange CoinJar, told Cryptonews.

“This push toward clearer tax reporting standards should provide greater clarity for everyday users, and this makes using compliant platforms even more important.“

Diverging Tax Strategies Reshape Global Landscape

While enforcement tightens, tax treatment varies sharply across countries.

For instance, Japan’s 2026 tax reform implements a flat 20% rate on crypto gains from “specified crypto assets” handled by registered financial businesses, replacing the current regime, under which gains are subject to up to 55% taxation.

The reform also introduces a three-year loss carryover deduction and permits investment trusts incorporating cryptocurrencies.

France also moved toward taxing crypto as “unproductive wealth” after lawmakers passed an amendment by a narrow 163–150 vote, replacing the real estate wealth tax with a broader levy covering digital assets, yachts, private jets, and art.

The proposal raises the threshold from €1.3 million to €2 million with a flat 1% rate.

“Crypto is equated with an unproductive reserve, not useful to the real economy,” warned Ledger co-founder Éric Larchevêque.

Similarly, Spain’s Sumar Parliamentary Group proposed amendments shifting crypto gains from the current 30% savings rate to the general Personal Income Tax rate, capped at 47%, while corporate gains would be taxed at 30%.

Lawyer Chris Carrascosa called the proposal “unenforceable,” warning it would “cause absolute chaos in the entire crypto tax regime in Spain.“

These aggressive and unavoidable tax implementations result from regulators’ longstanding thirst to tax crypto, as many traders were effectively evading taxes due to inadequate rules on digital assets, both in classification and taxation.

In fact, Denmark’s Tax Agency found back in March that over 90% of crypto traders failed to report gains or losses, despite 2019 rules requiring domestic exchanges to automatically share transaction data.

Bank transfer records show traders migrated to foreign platforms immediately after reporting requirements took effect, with noncompliance spanning all wealth brackets from 95% among bottom-decile investors to 86% in the top decile.

In the US, Arizona lawmakers introduced bills to exempt virtual currency from taxation and to bar local governments from imposing fees on blockchain node operators. However, broader exemptions require voter approval in November 2026.

Notably, among a few other countries, South Korea faces mounting uncertainty over its January 2027 crypto tax launch, as officials warn that key infrastructure and regulatory guidelines remain missing despite five years of planning and three previous postponements.

Switzerland has also delayed the automatic exchange of crypto account information with foreign tax authorities until at least 2027, despite implementing the legal framework in January 2026.