What happened
On 11 August 2026 Singapore gazetted the Income Tax (International Tax Compliance Agreements) (Crypto-Asset Reporting Framework) Regulations 2026, implementing the OECD's Crypto-Asset Reporting Framework (CARF).
The regulations establish:
- Reporting crypto-asset service providers (RCASPs): entities or individuals providing exchange services between crypto-assets and fiat currencies, or between different crypto-assets, must register with IRAS.
- Due diligence rules: RCASPs must perform KYC and tax residency verification on individual and entity users, collecting tax identification numbers (TINs).
- Scope of reportable assets: covers stablecoins, payment tokens, security tokens, and certain non-fungible tokens (NFTs) used for payment or investment.
- Timeline: due diligence takes effect from 1 January 2026, with the first annual reporting to IRAS scheduled for 2027.
Why it matters
CARF closes the transparency gap between traditional financial accounts (covered by CRS) and decentralised / crypto-asset ecosystems.
Crypto exchanges, custodial wallet providers, brokers and token issuers established or operating in Singapore will bear compliance obligations analogous to banks under CRS. Failure to conduct due diligence or submit reportable data carries criminal and civil penalties under the Income Tax Act.
What to do now
- Determine whether your entity is an RCASP under the statutory definition (holding a Major Payment Institution licence from MAS or operating a digital token exchange).
- Upgrade customer onboarding and KYC flows to collect tax residency self-certifications and TINs.
- Establish reporting pipelines capable of compiling XML data schema for IRAS electronic submission by 2027.
Key resources
General information only; not tax or legal advice.