Indian Finance Minister called on G20 countries to bring cryptography under the framework of “automatic exchange of information” Over 100 countries have adopted common reporting standards under this framework.
The G20 was asked to bring cryptography under the automatic exchange of information
Indian Finance Minister Nirmala Sitharaman spoke about cryptocurrencies at the G20 Ministerial Symposium on Taxation and Development in Bali, Indonesia on Friday.
Noting that “tax transparency” is an area where “considerable progress has been made in the automatic exchange of information on financial accounts,” she explained:” Our research has shown that tax evaders often establish multiple legal entities to hide unknown assets.”
Sitharaman added, “The framework of automatic exchange of information provides financial account information to various jurisdictions, but tax evaders are smart enough to They seek other means of moving unaccounted wealth through investments,” he added. Emphasizing that this area is a G20 action point, the Finance Minister elaborated as follows.
While the development of a crypto asset reporting framework is underway, I ask the G20 to consider the feasibility of automatic information exchange with respect to other non-financial assets beyond those covered under the CRS, such as immovable assets.
Automatic Exchange of Information (AEOI) is intended to reduce global tax evasion. The Common Reporting Standard (CRS) is the information standard for AEOI; it was developed at the request of the G20 and approved by the OECD Council in July 2014.
The CRS requires countries and regions to obtain information from financial institutions and automatically exchange that information with other countries and regions on an annual basis, the OECD explains.
More than 100 countries have committed to the CRS
India’s Finance Minister continued.” More than 100 countries have committed to exchange financial accounting information under the Common Reporting Standard.”
However, he noted that some countries have not yet started exchanging information under this framework. Sitaraman said, “We need to incorporate these countries …… Therein lies one of the challenges of the G20,” she stressed. She stated that.
I believe that the G20 should play a catalytic role in encouraging these countries and regions to become part of the automatic exchange of information and this mechanism.
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