Transparency in the sharing economy: What to know about DAC7 and beyond

New rules will require digital platforms to report income earned by sellers using their platform on an annual basis. Initial adoption will be in the EU and UK, with the OECD expected to push for adoption globally from 2024. 

Information will be shared automatically between tax authorities to allow them to target under-declared income by sellers using digital platforms. The new rules are extraterritorial in effect – platforms that facilitate transactions by EU/UK sellers will be required to report even where they are located elsewhere– unless their jurisdiction has signed up to the OECD’s exchange program. These measures can be expected to bring significant numbers of sellers into the scope of automatic exchange of information.

With the EU and UK rules commencing on 1 January 2023, please join us for a timely discussion.

The discussion will include the following specific topics:

• The scope of the rules

• Global adoption

• What digital platforms should be doing now

• Lessons learned from previous automatic exchange of information regimes

Panelists:

• David Wren, UK Tax Associate Partner, Financial Services, Ernst and Young LLP

• Marie-Sophie Dervieu, EY Luxembourg ITTS Banking and Insurance Associate Partner

• Lu-Shen Qua, Senior Manager, EY FSO Belastingadviseurs LLP

• Alex Hale, Indirect Tax Director, Ernst & Young LLP
  

The panelists will also be sharing their experiences of implementing automatic exchange regimes and discussing learnings and technologies that digital platforms can leverage from previous implementations in other sectors.