The Organization for Economic Cooperation and Development (OECD) will introduce a set of rules for taxes on cryptocurrencies.
The information came from Pascal Saint-Amans, director of the Center for Tax Policy and Administration at the OECD. According to the Law 360 portal, Amans said the new rules will come into effect as early as 2021.
New rules will follow tax evasion model
Amans' comments came days after the European Commission launched a process to change and extend its tax avoidance laws regarding cryptocurrencies.
The proposal was published on November 23. A public consultation period on the initiative will be open until December 21. If passed, the new laws are expected to be introduced during the third quarter of 2021.
The director also said that the new rules "will be roughly equivalent to the CRS". This standard developed by the OECD to combat tax evasion.
"The delivery schedule is probably in 2021, as there is great interest from all countries now," said Amans.
OECD seeks partnership with European Union
Amans hopes the OECD will set its cryptocurrency tax standards ahead of Europe. In fact, the OECD has been working on these standards since October.
With this, the director hopes that the work will be an "opportunity for the European Union to align with the (OECD) standard."
However, uncoordinated simultaneous development can result in OECD and Europe establishing specific political positions that contradict each other.
This can create regulatory challenges for European OECD members. European countries have recently tried to tax digital services, but have not found consensus.
Amans, however, dismissed these concerns. According to him, any OECD proposal would be “complementary” to European Union regulations.
A spokesman for the European Commission indicated that the organization is working "in parallel" with the OECD to "avoid overlaps or inconsistencies as far as possible."
"At the same time, the specific situation of the EU and its member states must be taken into account," they added.
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