you're reading...
Economic and Social Policies, PUBLICATIONS

Advances in administrative cooperation in the field of taxation [EU Legislation in Progress]

Written by Miroslava Karaboytcheva (2nd edition, updated on 08.04.2021),

© metamorworks / Adobe Stock

The digitalisation of the economy opens the door to new cross-border economic activities that makes it possible to under-report income and under-pay tax. It also presents new challenges for tax administrations, already faced with limited access to information at the national level. Hence, in July 2020 the Commission proposed to amend the provisions on information exchange and administrative cooperation and to include the automatic exchange of data on information declared by digital platform operators in their scope. The goal is to ensure that sellers on digital platforms pay their fair share of taxes, align EU countries to the digital economy, and close the gaps for tax evasion and avoidance. Right now, having secure tax revenues is vital for the provision of support to the people and businesses most in need.

The Parliament’s ECON committee adopted its report on the proposal for an amended Directive on Administrative Cooperation (DAC7) on 4 February 2021. The Parliament adopted its opinion on the Commission’s proposal on 10 March 2021. The Council had reached agreement on the proposal on 1 December 2020, and formally adopted it on 22 March 2021. Member States have to transpose the directive’s provisions and apply them as of 1 January 2023, except for the provisions on joint audits which will apply from 2024.

Complete version

Proposal for a Council Directive amending Directive 2011/16/EU on administrative cooperation in the field of taxation
Committee responsible: Economic and Monetary Affairs (ECON) COM(2020) 314 final
Rapporteur: Sven Giegold (Greens/EFA, Germany) 2020/0148(CNS)
Shadow rapporteurs: Lídia Pereira (EPP, Portugal)
Aurore Lalucq (S&D, France)
Monica Semedo (Renew, Luxembourg)
Gunnar Beck (ID, Germany)
Roberts Zīle (ECR, Latvia)
Dimitrios Papadimoulis (The Left, Greece)
Consultation procedure (CNS) – Parliament adopts a non-binding opinion only
Procedure completed. Council Directive (EU) 2021/514
OJ L 104, 25.3.2021, pp. 1–26.

timeline 7 steps finished - adoption by council

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Download the EPRS App

EPRS App on Google Play
EPRS App on App Store
What Europe Does For You
EU Legislation in Progress
Topical Digests
EPRS Podcasts

Enter your email address to follow this blog and receive notifications of new posts by email.

Join 3,508 other followers

RSS Link to Members’ Research Service

Disclaimer and Copyright statement

The content of all documents (and articles) contained in this blog is the sole responsibility of the author and any opinions expressed therein do not necessarily represent the official position of the European Parliament. It is addressed to the Members and staff of the EP for their parliamentary work. Reproduction and translation for non-commercial purposes are authorised, provided the source is acknowledged and the European Parliament is given prior notice and sent a copy.

For a comprehensive description of our cookie and data protection policies, please visit Terms and Conditions page.

Copyright © European Union, 2014-2019. All rights reserved.

%d bloggers like this: