The Ministry of Finance announced the United Arab Emirates' commitment to implementing the updated amendments to the Common Reporting Standard (CRS 2.0), issued by the Organisation for Economic Co-operation and Development (OECD) as part of the global system for the automatic exchange of information for tax purposes. The updated standard is set to be implemented starting in 2027, with the first information exchange scheduled for 2028. In its statement today, the Ministry noted that this step reflects the strengthening of the UAE's advanced position across various global competitiveness indices and confirms the excellence of the country's financial system due to its transparency and adherence to the highest standards of governance, which constitutes a major attraction for foreign investments into the UAE. It also embodies the practical approach adopted by the UAE in aligning the timeline for implementing the 'CRS 2.0' standard with meeting the reporting requirements for tax information under the framework for the reporting of crypto-assets. The updated standard 'CRS 2.0' builds upon the existing framework under Federal Decree-Law No. 48 of 2018 and Cabinet Decision No. 93 of 2021, expanding its scope to include central bank digital currencies and some activities related to crypto-assets. The standard also introduces additional audit and reporting requirements to ensure that the growth of the digital assets sector and financial innovation do not impact global tax transparency. The updated standard 'CRS 2.0' and the framework for the reporting of crypto-assets (CARF) mark a significant milestone in the UAE's journey towards enhancing its commitment to the highest international standards of tax transparency and broadening its cooperation with international organizations such as the OECD and the global financial community, which reinforces the UAE's position as a leading financial center built on sound governance and international compliance.
