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DAC7: New tax transparency rules on digital platforms – is your company at risk?

In March 2021, the EU approved new reporting rules in a directive known as DAC7. The directive will require the operators of online platforms for the sale of goods and certain services, to collect, verify and share data on their sellers and their transactions concluded on the online platform. EU member states have until 31 December 2022 to implement DAC7 into national law. Certain platform operators will become a reporting platform and will need to start collecting and verifying data points in compliance with the DAC7 reporting requirements. The collected data points must be reported to the tax authorities of the relevant EU member state annually.

At the moment, the definition of “reporting platform” is broad. There is a lot of uncertainty as DAC7 aims to cover a wide range of activities.

Will you be considered a platform operator with reporting obligations when DAC7 comes into play, and are the sellers selling on your platform qualified sellers?

We have created a short interactive tool, our DAC7 risk test, to help you determine whether your business is at risk of falling within the scope of DAC7. To discuss the implications of DAC7 further, you can arrange a call back through the tool, or get in touch with your usual Baker McKenzie contact.

DAC7 Risk Test
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Author

Julie Permeke is a partner in the Tax Practice Group of the Brussels office. She joined Baker McKenzie in 2016 after several years of experience as a tax lawyer in other well reputed Benelux law firms. She also works as a voluntary researcher in the tax department of the Free University of Brussels (VUB). Julie has been listed as a recommended tax lawyer in Legal 500.

Author

Olivier Van Baelen is a counsel in the Tax Practice Group in Baker McKenzie's Brussels office.
Olivier supervises the Belgium's VAT practice. He joined Baker McKenzie in 2017 after several years of experience in a Big 4 and as a tax lawyer in a leading Belgian taxation law firm. He advises clients on all kinds of (indirect) tax issues and represents clients in every stage of (indirect) tax disputes. He works closely with our EU VAT group, transfer pricing, customs and trade practices teams to provide comprehensive advice on the most challenging (cross-border) transactions and controversies.

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Amar Hamouche is a tax director in the Tax Group of Baker McKenzie's Luxembourg office. He has over 16 years of experience. Prior to joining the Firm's Tax team in 2011, Amar was Senior Tax Manager at Ernst & Young Luxembourg for over seven years and a member of the Financial Services Organization tax group, which focuses on Financial Institutions.

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Diogo Duarte de Oliveira is a partner in charge of the Tax Department of Baker McKenzie's Luxembourg office. He has over 16 years of experience. Prior to joining Baker McKenzie in 2019, Diogo was tax partner and head of tax at the top-ranked practice of a Benelux leading law firm. He was also an international corporate tax manager with a Big Four audit firm in Luxembourg (and in Mexico City as a secondee).

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Ariane Calloud is a member of the Tax Practice Group in Baker McKenzie Paris. Prior to joining the Firm in 2007, Ms. Calloud worked in the tax department of Landwell & Associés (PwC) where she practiced corporate tax and international tax law.

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Thierry Vialaneix joined Baker McKenzie in 2004 as a Local Partner and became a Senior Counsel in 2009. He handles all legal matters related to VAT and indirect taxes. He began his career with CMS Bureau Francis Lefebvre, and subsequently joined Price Waterhouse Legal and Tax. Mr. Vialaneix also worked in the tax department of Ernst & Young and Landwell & Associés before joining Baker McKenzie, where he currently supervises the Paris office’s VAT practice. In addition to his legal practice, Mr. Vialaneix has published several articles tackling VAT issues and has participated in various tax seminars.

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Oliver Pendred is a partner in Baker McKenzie's tax practice in London. He is a chartered accountant and chartered tax adviser providing corporate and international tax advice to multinational clients. Prior to joining Baker McKenzie, he was a director at a Big Four accounting firm.

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Ana Royuela is a partner in Baker McKenzie’s Tax Practice Group in Barcelona. She regularly handles complex tax matters, as well as tax controversies and litigation. Ms. Royuela has spoken at local and international conferences and client seminars on topics related to her field. She has contributed articles on indirect taxation and tax proceedings to various economic journals, including BNA International Indirect Taxes Journal and lectured on public tax administration. She joined the Firm in 1999.

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Javier Blázquez is a Partner in Baker McKenzie, Barcelona office.

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Isabel de Otaola has been a partner at Baker McKenzie’s Madrid office since 1999. She is a member of the Firm’s European Tax Practice Group. She is also active in the Tax Planning and Employee Benefits subgroups, as well as in the Global Reorganizations Practice Group. She regularly lectures in various conferences and seminars, and has authored several publications and articles, particularly for BNA’s Tax Management International Forum. Ms. de Otaola is also a certified public accountant from the Instituto Censores Jurados de Cuentas, and is a member of the Madrid Bar Association.

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Javier Esain is an Associate in Baker McKenzie Madrid office.

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Susanne Liebel-Kotz is a member of the Firm’s Global Tax and Real Estate practice groups in Zurich. She has almost 10 years of broad international tax planning and M&A experience. Before joining Baker McKenzie, she worked in another major law firm in Munich. Susanne Liebel-Kotz was admitted to practice as an Attorney-at-Law in Germany in 2012, and earned additional qualification in 2015 as a Certified Tax Adviser and a Specialist Lawyer for Tax Law (Fachanwältin für Steuerrecht). In 2019, she qualified as a Swiss Certified Tax Expert and was awarded for outstanding academic achievements ("Best 3" Swiss Certified Tax Experts graduates award). Susanne is a frequent speaker on seminars and other events regarding various taxation issues, in particular with respect to international taxation.

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Christopher Murrer is an associate in the FinTech, International Tax and Wealth Management practice groups of Baker McKenzie Zurich. He joined the Firm after practicing for seven years as tax and wealth planning attorney in New York and Washington, DC.

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Francesco Pisciotta serves as managing partner of the Firm’ s Italy offices and co-heads the tax practice of Baker McKenzie Italy. Francesco is a member of Baker McKenzie’s Europe and Global Tax Practice Group. He has been a member of the International Tax Commission of the Milan Association of Certified Accountants. Mr. Pisciotta is a certified auditor and a member of the Milan Tax Bar. He is regularly invited to speak on tax issues in various seminars and conferences.

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Michele Santocchini co-heads the tax practice of Baker McKenzie Italy. He joined Baker McKenzie's Rome office as counsel in 2013. A certified public accountant, he is knowledgeable in international tax planning, including supply chain restructuring, cross-border reorganization and acquisitions, financial restructuring and transfer pricing. Mr. Santocchini also has vast experience in M&A matters, such as acquisition structuring, merger reorganizations and leveraged buyout. He has made several presentations on tax matters in events organized by the Rome CPA’s Association, and also lectures on advanced tax law at the University La Sapienza of Rome.

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Dr. Gergely Riszter heads the Tax Group of the Firm’s Budapest office. He has been recognized as a Highly Recommended Tax Practitioner by PLC Yearbook 2008. Dr. Riszter regularly lectures at the Eötvös Loránd University of Sciences, Faculty of Law on financial and tax law matters. He serves as editor of the Budapest office’s Tax Newsletter and regularly contributes to other tax-related publications.

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Dr. Timea Bodrogi-Szabó is an associate in Hegymegi-Barakonyi and Partner Baker & McKenzie Attorneys-at-Law in Budapest.

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Philipp Stanek is a member of Baker McKenzie's Tax Practice Group in Austria. Prior to joining the Vienna office in 2016, he was a senior consultant at a Big Four professional services firm. He works and teaches at the University of Salzburg and frequently publishes articles in professional journals and legal commentaries.

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Eliška Komínková has more than seven years experience as a tax consultant, focusing mainly in the areas of value added tax and customs.

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Katarzyna Kopczewska is a partner in Baker McKenzie's Warsaw office. She combines legal background with 13 years' tax advisory experience from a Big Four consultancy with a focus on real estate.

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Piotr Maksymiuk is a tax adviser mainly practicing in the areas of corporate and personal income tax. He began his career working for Poland's top five consulting companies and has practiced in leading tax advisory firms before joining Baker McKenzie in 2005. He regularly contributes commentaries on court judgments published in Orzecznictwo Podatkowe, and has written numerous articles and expert opinions on income tax, international tax and transfer pricing issues for Polish and international press and magazines.

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Linnea Back is a member of Baker McKenzie’s Tax Practice Group in Stockholm. Her main practice area is tax reorganization for national and international company groups, as well as for small or medium-sized corporations managed by their owners. Linnea also advises companies in connection with tax litigation processes. She is recognized as Leading Individual for Tax in Legal 500 2021. Linnea is a frequent speaker on seminars regarding tax news and restructuring issues.

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Jochen Meyer-Burow is a German attorney at law with a Master degree in German Tax Law, and an LL.M. in Indirect Taxation and Information Technology Law of the University of London. Mr. Meyer-Burow frequently authors legal articles and comments on current VAT matters in domestic and international publications. He is a regular contributor of the VAT advisor journal in Germany (UStB) and a commentator in the upcoming HDS-commentary for German value added taxes. Mr. Meyer-Burow is a Member of the firms European VAT Steering Committee and was an active member of Baker McKenzie’s European Indirect Tax Practice which received the first European Indirect Tax Firm of the Year Award. He has been listed among leading Indirect Tax Experts for several years (International Tax Review). Together with Baker McKenzie’s German Tax Practice Group, he was nominated for several Juve Awards, contributing one of his larger retail-related cases he shared in the European Media & Entertainment Tax Team of the Year Award for Baker McKenzie in 2012 (ITR). Prior to joining the Firm, Mr. Meyer-Burow worked as a VAT attorney with PricewaterhouseCoopers and KPMG in Germany, and as legal counsel in New York and London.

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Martin Morawski is a Legal Director in Baker McKenzie's Amsterdam office.

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Mirko Marinć is a partner in Baker McKenzie’s Indirect Tax practice in Amsterdam, and a member of the EU VAT Steering Committee. His experience includes advising businesses on supply chain opportunities, acquisition and restructuring projects, holding company issues and intra-group compliance simplification. Mirko lectures on moot courts at the University of Leiden every year, and speaks at various seminars and conferences. He has also published several articles in international (VAT) magazines on indirect tax. Prior to joining the Firm as a tax advisor on December 2006, he worked for Arthur Andersen and Deloitte where he was involved in numerous projects for major Dutch and foreign companies.