VATupdate
VAT

Share this post on

Finance Bill 2021 Including 2022 Budget Measures: DAC6 & DAC7

Transposition of DAC7 extending tax transparency rules to digital platforms

The Bill will also transpose the DAC 7 EU Directive on Administrative Cooperation into national law. DAC 7 extends automatic exchange of information (AEOI) to apply to digital platforms, that provide a platform for; the sale of goods, the rental of immovable property (e.g. accommodation), the provision of personal services, and the rental of any mode of transport. The legislation introduces a reporting obligation for digital platform operators applicable from 1 January 2023, and will ensure that tax is paid where appropriate.

Updated Revenue Powers to ensure Proper Application of DAC6

Council Directive 2011/16/EU on administrative cooperation in the field of taxation (DAC 6) was transposed in Finance Act 2019. The Bill updates that legislation to provide the Revenue Commissioners with additional powers necessary to review advisors’ and taxpayers’ procedures to ensure compliance with DAC6. This is broadly aligned with existing powers for other aspects of administrative cooperation notably DAC2 which reviews compliance by financial institutions.

Sponsors:

VAT news
VAT news

Advertisements: