White House moves closer to allowing IRS to surveil international crypto transactions

The White House is advancing a proposed rule that would enable the Internal Revenue Service (IRS) to access information regarding U.S. taxpayers' digital asset transactions conducted in foreign jurisdictions. This proposal was recently received by the Office of Information and Regulatory Affairs (OIRA) for review. This action follows a comprehensive digital asset report from the White House over the summer, which recommended that the IRS and Treasury consider rules to implement the Crypto-Asset Reporting Framework (CARF). CARF is an international standard designed to boost tax compliance by requiring digital asset providers to report specific transactions. The White House stated that implementing CARF would discourage U.S. taxpayers from moving assets to offshore exchanges, thereby promoting digital asset growth domestically and alleviating concerns about competitive disadvantage. However, the report also noted that any new rules should avoid imposing new reporting requirements on Decentralized Finance (DeFi) transactions.

(Source：The Block)