Hong Kong Passes Crypto Tax Bill, Plans Tax Data Exchange in 2028

Hong Kong’s Legislative Council passed a crypto tax-reporting bill Wednesday, requiring eligible service providers to begin customer checks and transaction reporting in 2027 before the city starts automatic tax-data exchanges with partner jurisdictions in 2028.

The Taxation (Amendment) (Crypto-asset Reporting Framework and Amended Common Reporting Standard) Bill 2026 implements the Organization for Economic Co-operation and Development’s Crypto-Asset Reporting Framework, a standard for reporting crypto-asset information for tax purposes.

Under the measure, covered service providers must conduct customer due diligence and report transaction information starting in 2027. The information includes a user’s tax-residency status and details of crypto purchases, sales and transfers.

Hong Kong plans to exchange the reported tax information automatically with participating jurisdictions beginning in 2028. That schedule puts cross-border data sharing a year after the reporting obligations start, linking information collected by local service providers with later exchanges between tax jurisdictions.

The council passed the measure Nov. 4.