2026-01-19 22:28:55

This question is a bit off-topic, but I can guess the core meaning—when withdrawing funds from a major exchange to a US account, could it trigger issues with overseas income reporting and taxation?

My understanding is that there are actually several layers behind this. First and foremost: there is no CRS agreement between the US and China. What does this mean? Whether you are transferring USD from a major exchange or other platforms to a local US bank, even if you register and open an account with a Chinese passport, the banking system will not automatically report information to tax authorities in both countries. Technically speaking, there is no automatic exchange mechanism for financial intelligence between the two countries. But this is just a technical fact; it does not mean there are no other risks, which is something that needs to be clarified.

View Original

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.

22 Likes

Reward
22
10
Repost
Share

Comment

Add a comment

SpeakWithHatOn

· 01-22 22:07

It sounds like you can operate freely without CRS? I don't think it's that simple. Just because the technology isn't compatible doesn't mean it's truly secure.

View OriginalReply0

SnapshotDayLaborer

· 01-22 16:32

Haha, the CRS protocol has actually been mythologized; the real pitfalls are behind it.

View OriginalReply0

GateUser-afe07a92

· 01-22 02:26

Haha, the lack of CRS agreement is indeed a key point, but it seems many people misunderstand it.

This doesn't mean you can operate arbitrarily; it just means banks won't automatically report it.

View OriginalReply0

SelfStaking

· 01-21 21:29

Uh, it sounds like that kind of "technically fine but need to be careful" issue... These kinds of things are most annoying because they are half true and half false.

Having CRS sounds good, but don't get too excited; the US is watching closely.

The passport part is actually the key. If you really investigate, you can still find out.

Oh my God, this tax issue really drives me crazy. Why does dealing with crypto always involve this bunch of trouble?

Basically, it might pass technically, but if something really happens, it's game over. Is it worth taking this risk?

I'm a bit worried about this kind of introduction... Usually, when people say that, they are paving the way for "there are other pitfalls."

So the key is how to prove where that money came from, right?

View OriginalReply0

MetaMisfit

· 01-19 22:56

Uh, the logic is correct, but it still feels a bit naive... No CRS protocol ≠ no risk, everyone.

View OriginalReply0

bridgeOops

· 01-19 22:51

The absence of the CRS agreement is indeed a key point, but bro, your "technical fact" is a bit too optimistic.

Lack of CRS doesn't mean they won't investigate; both sides want money.

View OriginalReply0

Ser_Liquidated

· 01-19 22:50

Ha, so basically there's no "listener" installed between the US and China, and technically there are indeed many vulnerabilities.

View OriginalReply0

NeonCollector

· 01-19 22:40

Hey man, not having the CRS agreement is indeed a key point... but I still think we shouldn't focus on just that.

View OriginalReply0

ShitcoinArbitrageur

· 01-19 22:40

Wow, so does that mean the US and China are outside the CRS framework and essentially a lawless zone? Sounds too good to be true, there must be a catch.

Hmm… Not automatic reporting doesn’t necessarily mean it’s truly safe, I understand this principle.

When it comes to withdrawing funds, you still need to be careful. Just thinking about saving a little on taxes isn’t enough.

Does US banks really not automatically inform China? Feels a bit too relaxed…

I didn’t quite understand the CRS issue before; turns out there’s no agreement between China and the US.

It seems technically risk-free, but there might be other considerations in actual operation.

So what’s the safest plan? Could it really be just doing it this way?

View OriginalReply0

MysteriousZhang

· 01-19 22:39

The absence of the CRS protocol is indeed a vulnerability, but the key is not to be too naive.

View OriginalReply0