On 22 March 2021, the EU Council unanimously approved the
adoption of the so-called DAC7, the sixth amendment to EU Directive
2011/16/EU on administrative co-operation in the field of taxation
("DAC"). The draft DAC7 was previously agreed by Member
States in November 2020.
The primary focus of the changes being introduced by DAC7 are to
address the tax challenges posed by the digital platform economy
through the introduction of new reporting obligations for digital
platform operators and exchange of information rules for tax
authorities. In addition a number of other amendments to the DAC,
not limited to digital platforms, are also to be introduced to
strengthen administrative cooperation.
