EU

DAC7 is a European Union directive regulating the exchange of information between the national tax authorities of EU countries. From January 1, 2023, DAC7 became effective and establishes registration and reporting obligations for platform operators operating in the EU. To better understand the full scope of DAC7 compliance and how it affects platform operators, you can visit our page on DAC7 Reporting.

Registration in the EU

Platform operators that are tax residents in an EU country, as well as those registered, managed, or having a permanent establishment in an EU country, are required to register. Additionally, non-EU platform operators conducting commercial activities within the Union must register in a single EU country. For more details on the registration process under DAC7, visit our guide on DAC7 Registration.

Operators Not Required to Register in the EU

Those platforms that do not meet the criteria for EU tax residence, do not have management or representative offices in the EU, or do not carry on business activities in the Union are excluded from this requirement.

Tax Registration of Platform Operators in the EU

Non-EU platform operators conducting commercial activities in the EU are required to register and submit reports in one designated EU country. This can be done in compliance with DAC7, and you can learn more about how to manage this registration by checking our page on DAC7 Registration.

Types of Activities Subject to Reporting in the EU

Activities that must be reported under DAC7 include:

• Rental of immovable property
• Personal services
• Sale of goods
• Rental of any type of transportation

To understand the broader impact of these reporting requirements on your business, check out our page on Marketplace Tax Management, which covers the obligations of platform operators in the EU.

Deadlines for DAC7 Reporting in the EU

The deadline for the annual DAC7 declaration for 2024 in all EU countries is January 31, 2025. Currently, there is a unified deadline across all EU countries. However, some countries may extend this deadline to February or March. For more information on key deadlines and other DAC7 reporting-related queries, visit our page on DAC7 Reporting.