Switzerland Federal Council Passes Bill to Automatically Exchange Cryptocurrency Tax Information with 74 Countries, Enhancing Global Tax Transparency
(Background: No Tax Payments, Liquidate Your Crypto! South Korea Issues Ultimatum to 17 Tax-Debt Cryptocurrency Nationals)
(Supplementary Background: 2025 Update on Cryptocurrency Investor Tax Reporting Regulations: Differences in Domestic/Foreign Income, Can Virtual Currency Losses be Recognized?)
Switzerland, as a global financial center, is taking significant steps towards tax transparency in the cryptocurrency sector. The Swiss Federal Council has recently passed a draft bill aimed at establishing a mechanism for the automatic exchange of tax information related to cryptocurrency assets with 74 partner countries worldwide. This bill is expected to come into effect in 2026, with the first data exchange scheduled for 2027, and is anticipated to have widespread implications for the global cryptocurrency market and investors.
Expansion of Global Tax Information Exchange
This new mechanism is based on the existing Automatic Exchange of Information (AEOI) framework, with the goal of significantly enhancing the tax transparency of cryptocurrency assets. According to an announcement made by the Federal Council on June 6, 2024, the list of cooperating countries includes the United Kingdom and all EU member states, covering most G20 countries. However, the United States, Saudi Arabia, and China are currently not included in this cooperation, a point confirmed by the Swiss Federal Government in an official post on the X platform. This measure demonstrates Switzerland’s commitment to embracing cryptocurrency innovation while also strengthening relevant regulations to address increasingly complex cross-border financial activities.
Regulation and Integration of the Swiss Market
Switzerland has long been an important center for cryptocurrency, with its “Crypto Valley” located in Zurich and other areas, gaining international acclaim. The local financial market regulator, FINMA, supervises cryptocurrency-related activities based on Swiss anti-money laundering laws. Reports indicate that approximately 28% of Swiss banks are currently offering or planning to offer cryptocurrency investment services. Furthermore, large financial institutions such as BlackRock have launched Bitcoin exchange-traded products (ETPs) in the Swiss market. These developments not only reflect Switzerland’s efforts to integrate cryptocurrency into the mainstream financial system but also further strengthen the regulatory framework against potential tax evasion behaviors through the promotion of this information exchange bill.
The Swiss decision to approve the automatic exchange of cryptocurrency tax information with 74 countries marks an important progression in the global regulation of cryptocurrencies. The implementation of this measure will significantly enhance the transparency and compliance standards of cryptocurrency taxation internationally, while also raising the tax reporting obligations for market participants.
