UAE signs global agreement on crypto tax information exchange: What it means

Framework set to take effect in 2027 with first cross-border data sharing in 2028

Last updated: September 21, 2025 | 09:55

2 MIN READ

UAE signs global agreement on crypto tax information exchange: What it means

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Dubai: The UAE has signed the Multilateral Competent Authority Agreement (MCAA) on the Automatic Exchange of Information under the Crypto-Asset Reporting Framework (CARF), the Ministry of Finance (MoF) said on Saturday.

The Crypto-Asset Reporting Framework (CARF), developed by the Organisation for Economic Co-operation and Development (OECD), is designed to improve global tax transparency in the crypto sector.

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What it requires

The CARF guidelines require crypto exchanges, brokers, and wallet providers to report details of customer transactions, including buying, selling, exchanging, and transferring digital assets.

Governments will then automatically share this information with each other, allowing tax authorities to track cross-border activities and ensure individuals and businesses pay the correct amount of tax on their crypto holdings. In effect, CARF extends to digital assets the same kind of international reporting standards already applied to bank accounts.

The UAE move follows the ministry’s announcement in November 2024 that it would adopt the framework.

Timeline: CARF implementation in the UAE is scheduled for 2027. The first exchange of information is expected in 2028.
Objective: The framework creates a system for automatically sharing tax-related information on crypto-asset activities between jurisdictions.
Context: The agreement is part of international efforts to improve tax transparency and prevent the misuse of crypto-assets.

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The MoF also opened a public consultation on CARF implementation.

Stakeholders: Advisory firms, intermediaries, traders, custodians, and exchange platforms are invited to contribute.
Process: The consultation began on September 15 and will run until November 8, 2025.
Goal: To shape regulatory rules that reflect market needs and provide clarity for the crypto-asset sector.

Justin VargheseYour Money Editor

Justin is a personal finance author and seasoned business journalist with over a decade of experience. He makes it his mission to break down complex financial topics and make them clear, relatable, and relevant—helping everyday readers navigate today’s economy with confidence. Before returning to his Middle Eastern roots, where he was born and raised, Justin worked as a Business Correspondent at Reuters, reporting on equities and economic trends across both the Middle East and Asia-Pacific regions.