EU
This regime requires platform operators across the EU (and non-EU operators with EU activity) to collect, verify and report seller data to a single Member State tax authority, with automatic exchange across the EU.
This guide covers scope, registration, reportable activities, exclusions, deadlines and partner jurisdictions. visit our guide on DAC7 Registration.
Who must register and report in Europe (EU)
Platform operators must register and report under DAC7 if they satisfy the criteria below:
These include:
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“Union platform operators”: operators resident for tax purposes in an EU Member State; or incorporated, managed, or having a permanent establishment in a Member State.
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“Non-Union platform operators” (i.e. non-EU) that facilitate relevant activities by sellers resident in the EU or involving immovable property in the EU; they must elect one Member State for registration and reporting.
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Where an operator meets criteria in more than one Member State, it may elect a single Member State for DAC7 reporting; it must notify other Member States of the choice.
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Collection of seller data must begin 1 January 2023, with first reporting by 31 January 2024.
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Registration is through the national DAC7 / MRDP registration portal of the chosen Member State (often tied to the national tax authority).
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“Consideration” means amounts paid or credited to the seller for relevant activities (net of fees, commissions, taxes withheld).
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The EU regime embeds an automatic exchange mechanism: the reporting Member State forwards seller data to Member States of reseller residence and, for property rentals, where property is located.
We can register you. All required tax IDs and accounts — handled end to end. Get me registered
Excluded platform operators for Europe (EU)
Some platform operators may be excluded (or effectively exempt) under DAC7 rules:
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Operators that only provide listing or advertising, without facilitating transactions (redirecting users).
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Operators solely acting as payment processors, without connecting sellers and buyers.
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Operators that redirect users to another platform without further involvement.
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Operators able to demonstrate (to the tax authority) that no reportable sellers exist or that no profit is derivable by sellers under their model.
DAC 7 Registration of Platform Operators in the EU
Processes and obligations include:
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Registration via the tax authority’s DAC7 / MRDP module in the chosen Member State.
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Provide identification and business details (name, address, tax numbers, platform identifiers).
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Election of reporting Member State (if eligible in multiple) must be notified to other Member States.
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File via prescribed electronic means (usually XML schema) to the national authority.
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Maintain due diligence alignment: if part of a group, may rely on another operator’s KYC/KYB processes if equivalent.
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Retain records of seller data, due diligence, transaction logs for minimum 5 years (or as prescribed domestically).
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The tax authority of the reporting Member State will exchange information with other EU Member States per DAC7 exchange rules.
Types of Activities Subject to Reporting in the EU
| Activity type | Description | Examples | Thresholds / notes |
|---|---|---|---|
| Personal services | Time- or task-based services by individuals | Ride sharing, freelancing, delivery | No de minimis threshold |
| Rental of immovable property | Use of real estate (residential/commercial) | Airbnb, short-term rentals | No de minimis threshold |
| Sale of goods | Sale of tangible goods via platform | Marketplace goods sales | Optional module — only if national regime adopts goods reporting |
| Rental of means of transport | Rental or sharing of vehicles | Car sharing, bike rental | Optional module — only if national regime adopts transport reporting |
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Aggregation is per quarter (sum of consideration and count of relevant activities) per seller.
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Required data: seller name, primary address, date of birth (for individuals), legal name (entities), tax identification number(s), VAT ID if any, financial account identifier, account holder name if different.
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For immovable property: property address, land registration number (if applicable), number of rental days, property type.
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For sale of goods / transport modules: report total consideration, number of relevant activities, and fees/commissions withheld.
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Consideration must be in original currency; conversions allowed per consistent method; include currency codes.
Excluded sellers in Europe (EU)
Certain sellers are exempt from being reportable, even if active on a platform:
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Public bodies or governmental entities.
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Publicly traded companies or their majority-owned affiliates.
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Sellers (non-natural persons) that perform > 2,000 relevant services rental of immovable property at a single property address during the reporting year.
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Sellers (goods only) conducting < 30 relevant activities and total consideration ≤ €2,000 in the year (only under sale of goods module).
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Sellers that receive no consideration (i.e. no payment) or where the platform cannot reasonably determine consideration.
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Sellers carrying out relevant activity as an employee of the platform operator or an affiliated entity.
Deadlines for DAC7 Reporting in the EU
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Reporting period is calendar year (1 January – 31 December).
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Annual DAC7 information return is due by 31 January of the year following the reporting period.
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Seller statements (platforms must provide the same data to sellers) must also be issued by 31 January.
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Reporting must be electronic (XML) via the national tax authority’s DAC7 portal / service.
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Corrections / amended returns may be submitted per domestic rules (often via same portal or amendment procedure).
Penalties may apply (domestic law defines effective, proportionate and dissuasive sanctions) under DAC7 Article 21; amounts vary by Member State.
List of partner jurisdictions
Under DAC7, the primary partner jurisdictions are EU Member States, and information is exchanged automatically under the DAC common framework. [EC DAC7]Additionally, many non-EU jurisdictions implementing the OECD multilateral competent authority agreement (MCAA) are treated equivalently to reduce duplicate reporting via switch-off mechanisms (full or partial) when they exchange equivalent data with EU states.