Draft Taxation (Implementation) (International Tax Compliance) (Common Reporting Standard) (Jersey) Amendment Regulations 202-.

Published on: 29 October 2025

Lodged by: Minister for External Relations

Debate date: 12 December 2025

Reference: P.100/2025

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STATES OF JERSEY

DRAFT TAXATION (IMPLEMENTATION) (INTERNATIONAL TAX COMPLIANCE) (COMMON REPORTING STANDARD) (JERSEY) AMENDMENT REGULATIONS 202-

Lodged au Greffe on 29th October 2025 by the Minister for External Relations Earliest date for debate: 20th January 2026

STATES GREFFE

2025 P.100/2025

Standard) (Jersey) Amendment Regulations 202- Report

REPORT

Background

Jersey has long been committed to the implementation of global standards in tax transparency and the automatic exchange of tax information. The Organisation for Economic Co-operation and Development (OECD) established the Common Reporting Standard (CRS) in 2014 as a global minimum standard to facilitate the exchange of financial account information between jurisdictions. Jersey was among the first group of jurisdictions to implement the CRS, with information exchanges commencing in 2017.

In November 2024, Jersey signed two international agreements under the framework of the OECD's Multilateral Convention on Mutual Administrative Assistance in Tax Matters (MAAC): the Common Reporting Standard Addendum (CRS Addendum) to the Multilateral Competent Authority Agreement (MCAA) on Automatic Exchange of Financial Account Information, and the MCAA on the new Crypto-Asset Reporting Framework (CARF). As at the date of this report, 59 jurisdictions have signed the CRS Addendum and 52 jurisdictions have signed the CARF MCAA, including Guernsey, the Isle of Man, and the United Kingdom.

The CRS Addendum represents the first comprehensive update to the CRS since its inception. It expands the scope of the CRS to cover new financial products, entities, and certain virtual asset service providers, as well as enhancing due diligence and reporting obligations.

The CARF establishes a new global minimum standard for transparency in crypto-asset transactions, addressing challenges posed by crypto-assets to existing tax transparency frameworks. Jersey was identified as a jurisdiction of immediate relevance to CARF and committed politically to its implementation by 2026, ahead of the signing ceremony of the CRS Addendum to the MCAA and the CARF MCAA in November 2024.

These Regulations seek to implement the CARF and CRS Addendum domestically, ensuring that Jersey's legislation remains fully compliant with international standards ahead of the first reporting period commencing on 1 January 2026.

Detail

The draft Regulations are intended to achieve the following:

• Implement the CARF, requiring Reporting Crypto-Asset Service Providers (RCASPs) to undertake due diligence, collect client and transaction information, and report annually on relevant crypto-asset exchanges and transfers.

• Incorporate the amendments under the CRS Addendum, expanding the scope of the CRS to bring additional financial institutions, including certain virtual asset service providers and investment entities, within the reporting and due diligence regime.

• Align the administrative procedures across CARF and CRS, including aligned reporting deadlines and enforcement powers.

• Establish a mechanism to avoid duplicative reporting, allowing financial institutions to only report under the CARF if certain types of information would otherwise also be reportable under CRS, subject to notification being provided to Revenue Jersey.

Implementation of CARF

The CARF establishes a robust global minimum standard for tax transparency in respect of crypto-asset transactions. Under the CARF, Reporting Crypto-Asset Service Providers (RCASPs), defined as any individual, entity, or arrangement that effectuates or facilitates crypto-

Standard) (Jersey) Amendment Regulations 202- Report

asset exchanges, are required to undertake due diligence on their clients. This includes the collection and verification of key identifying information such as jurisdiction(s) of tax residence and tax identification numbers (TINs) from all crypto-asset users engaging in transactions.

RCASPs must report annually to Revenue Jersey detailed information concerning their clients' transactions in relevant crypto-assets. The categories of reportable transactions include:

• Exchanges between different crypto-assets;

• Exchanges between crypto-assets and fiat currency (and vice versa);

• Transfers of crypto-assets, including to un-hosted wallets;

• Certain payments made in crypto-assets.

To ensure data integrity and privacy, appropriate safeguards around data security and confidentiality will be implemented and strictly adhered to.

The information collected under CARF will be exchanged on an automatic basis with partner jurisdictions in which the taxpayers are resident, allowing revenue authorities to better detect and address tax non-compliance related to crypto-assets.

Certain categories of digital assets, including Central Bank Digital Currencies (CBDCs) and specified electronic money products that do not function as payment or investment assets, are expressly excluded from reporting under the CARF, although they may fall within the scope of the amended CRS.

The first reporting period under CARF will commence for transactions occurring from 1 January 2026, with the initial exchanges between jurisdictions scheduled to take place in 2027.

Amendments under the CRS Addendum

The CRS Addendum updates the CRS to capture new financial assets and providers, reflecting market developments and ensuring reporting is comprehensive, while avoiding duplication with CARF where possible. New due diligence and reporting requirements include enhanced identification of account holders, reporting of additional information, and revised definitions of financial institutions and accounts. The CRS Addendum constitutes the first major update to the CRS since its introduction, reflecting significant developments in the financial sector, particularly the emergence of virtual asset service providers and new financial products.

Key amendments include:

• Broadening the definition of financial institutions to capture additional service providers, including certain virtual asset service providers and investment entities investing primarily in crypto-assets, which were previously outside the scope of the CRS.

• Financial institutions are required to apply strengthened due diligence procedures, including the collection of more detailed taxpayer information and the reclassification of certain accounts, to improve the accuracy and completeness of reporting.

• Additional data fields and reporting categories, enhancing transparency over financial accounts and investments, and supporting better enforcement and compliance efforts.

• A new category of Non-Reporting Financial Institution has been introduced in respect of certain genuine non-profit organisations, and the group of financial accounts which are excluded from reporting has been extended to include Capital Contribution Accounts, thereby reducing the compliance burden where risk is deemed low.

The revised CRS provisions will be implemented domestically through amendments to Jersey's existing CRS Regulations, with reporting obligations taking effect for the 2026 calendar year and onwards.

Standard) (Jersey) Amendment Regulations 202- Report

Consistent and Streamlined Administrative Procedures

To ensure efficient and effective implementation, the CARF Regulations have been designed to mirror the CRS Regulations as far as possible. This includes:

• Aligned reporting deadlines – CARF reporting will follow the same annual cycle as the CRS, with RCASPs required to submit returns to Revenue Jersey by 30 June in respect of the preceding calendar year, in the same way as for the CRS.

• Unified enforcement powers – the enforcement provisions included in the CARF Regulations, including access to documents, compliance checks, and penalty regimes, are applied consistently across both CARF and CRS, providing clarity and reducing complexity for reporting entities and Revenue Jersey alike.

This streamlined approach facilitates compliance by minimising duplication of effort and supports Jersey's reputation as a cooperative and transparent jurisdiction in international tax matters.

Avoidance of Duplicative Reporting

Given that certain crypto-asset transactions may be reportable under both the CARF and the CRS frameworks, the Regulations introduce a mechanism to avoid duplicative reporting and unnecessary administrative burden.

Financial institutions and RCASPs will be able to notify Revenue Jersey if information they report under the CARF covers data that would otherwise fall within the scope of CRS reporting. Once this notification is accepted, those institutions will not be required to duplicate the same information under the CRS until they choose to withdraw the notification .

This mechanism aligns with OECD guidance, enhances reporting efficiency, and reduces the compliance costs for entities operating across both regimes.

Financial and staffing implications

The implementation of CARF and the CRS Addendum is expected to be managed through existing resources within Revenue Jersey. No new financial or staffing implications arise from these Regulations.

Children's Rights Impact Assessment

A Children's Rights Impact Assessment (CRIA) has been prepared in relation to this proposition and is available to read on the States Assembly website.

Standard) (Jersey) Amendment Regulations 202- Explanatory Note

EXPLANATORY NOTE

These Regulations, if approved, will amend the Taxation (Implementation) (International Tax Compliance) (Common Reporting Standard) (Jersey) Regulations 2015 (the "2015 Regulations") to refer to the amended Organisation for Economic Co-operation and Development Common Reporting Standard (the "CRS") and to avoid duplicative reporting of information in respect of gross proceeds from the sale or redemption of a financial asset that a financial institution has reported under the Taxation (International Tax Compliance) (Crypto-Asset Reporting Framework) (Jersey) Regulations 202- (the "CARF Regulations").

Regulation 2 amends the definition of "Agreement" and "CRS" in Regulation 1 of the 2015 Regulations. The definition of CRS now includes the commentaries as well as the CRS itself.

Regulation 3 amends Regulation 2 of the 2015 Regulations to make provision for the relevant date for the purposes of the Regulations for accounts that became financial accounts because of the amendments to the CRS.

Regulation 4 inserts new Regulation 8A, which provides that a report under the 2015 Regulations is not required in respect of gross proceeds from the sale or redemption of a financial asset if the information has been reported under the CARF Regulations. It also sets out the procedure for notifying the Comptroller that a report is not required.

Regulation 5 gives the name of the Regulations and provides that they come into force on 1 January 2026.

Standard) (Jersey) Amendment Regulations 202- Contents

DRAFT TAXATION (IMPLEMENTATION) (INTERNATIONAL TAX COMPLIANCE) (COMMON REPORTING STANDARD) (JERSEY) AMENDMENT REGULATIONS 202-

Contents

Regulation

1 Taxation (Implementation) (International Tax Compliance) (Common Reporting

Standard) (Jersey) Amendment Regulations 202- Regulation 1

DRAFT TAXATION (IMPLEMENTATION) (INTERNATIONAL TAX COMPLIANCE) (COMMON REPORTING STANDARD) (JERSEY) AMENDMENT REGULATIONS 202-

Made [date to be inserted] Coming into force [date to be inserted]

THE STATES make these Regulations under Article 2 of the Taxation (Implementation) (Jersey) Law 2004 –

1 Taxation (Implementation) (International Tax Compliance) (Common Reporting

Standard) (Jersey) Regulations 2015 amended

These Regulations amend the Taxation (Implementation) (International Tax Compliance) (Common Reporting Standard) (Jersey) Regulations 2015.

2 Regulation 1 (interpretation) amended

In Regulation 1 –

in the definition "Agreement", after "to improve international tax compliance based on CRS" there is inserted "and the Addendum signed by the Government of Jersey on 26 November 2024";
for the definition "CRS" there is substituted –

"CRS" means the Common Reporting Standard for the Automatic Exchange of Financial Account Information in Tax Matters as approved by the Council of the Organisation for Economic Co-operation and Development ("OECD") on 15 July 2014, as amended and approved on 8 June 2023, including the commentaries;

in the definition "relevant date", for "Regulation 2(1)" there is substituted "Regulation 2(1) and (1A)";
after paragraph (5) there is inserted –

(5A) For the purposes of these Regulations, Section VIII of the CRS is to be read

as if –

the definition "non-reporting financial institution" (which is relevant for the definition "reporting financial institution") in sub- paragraph B(1) includes the term "qualified non-profit entity" set out in the optional wording in paragraph 36sexies of the commentaries; and

Standard) (Jersey) Amendment Regulations 202- Regulation 3

sub-paragraph B(10) includes the definition "qualified non-profit entity" set out in the optional wording in paragraph 36sexies of the commentaries to Section VIII and references in that wording to "Jurisdiction" were a reference to Jersey.

3 Regulation 2 (meaning of "relevant date" and "relevant year") amended

After Regulation 2(1) there is inserted –

(1A) If, as a result of amendments made to the CRS on 8 June 2023, an account

becomes a financial account, the relevant date is the later of –

31 December 2025;
in relation to a participating jurisdiction listed in Schedule 4, the relevant date specified in that Schedule for that jurisdiction.

4 Regulation 8A (prevention of duplicative reporting) inserted

After Regulation 8 there is inserted –

8A Prevention of duplicative reporting

A reporting financial institution is not required to include the gross proceeds from the sale or redemption of a financial asset in a return provided under Regulation 8 if the reporting financial institution –

reports the gross proceeds from the sale or redemption under the Taxation (International Tax Compliance) (Crypto-Asset Reporting Framework) (Jersey) Regulations 202-; and
notifies the Comptroller.

The notification must be made –

on or before 30 June following the year to which the information relates; and
in the manner and form required by the Comptroller.

A notification made under this Regulation has effect for the year to which it relates and subsequent years until it is withdrawn.

5 Citation and commencement

These Regulations may be cited as the Taxation (Implementation) (International Tax Compliance) (Common Reporting Standard) (Jersey) Amendment Regulations 202- and come into force on 1 January 2026.