UAE Signs Crypto Tax Reporting Agreement, Opens Industry Consultation

The United Arab Emirates has committed to automatic crypto tax reporting with global authorities, launching an industry consultation to hammer out implementation details before the 2027 rollout.

The nation signed the Multilateral Competent Authority Agreement on the Automatic Exchange of Information under the Crypto-Asset Reporting Framework, developed by the Organization for Economic Cooperation and Development in 2023, which establishes mechanisms for automatic exchange of tax-related information on crypto-asset activities between countries. 

Crypto firms will need to comply with the new reporting rules by 2027, with the UAE beginning to share data with international tax authorities the following year.

"The framework establishes a mechanism for the automatic exchange of tax-related information on crypto-asset activities, ensuring that the UAE provides certainty and clarity to the crypto-asset sector while upholding the principles of global tax transparency," the Ministry said on Sunday.

The move comes as the Emirates continues building its reputation as a global hub for digital assets, following its 2024 decision to exempt crypto transactions from value-added tax and Dubai's establishment of clear regulatory guidelines for Web3 firms.

To ensure the framework meets market needs, the Ministry has launched an eight-week public consultation running through November 8.