DAC7 by Cyplom

Secure your business to platform obligations

The DAC7 Directive requires the income generated by users of online platforms to be declared each year. This concerns both transparent and opaque intermediaries within the meaning of VAT.

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Online intermediaries

are required to report user income to the tax authorities annually

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The DAC 7 directive introduces new obligations for operators of digital platforms that connect sellers, service providers or renters. In concrete terms, these obligations require:

  • of collect and check accurate information (identity, taxation, real estate ownership...).
  • of declare annually this data via a encrypted XML format with the tax authorities.
  • Ofnotify the sellers or service providers concerned on the transmission of their data.

In case of non-compliance, you incur:

  • fines of up to €150,000 per year;
  • A blacklist entry non-cooperative operators.

Enough to endanger your reputation and have a lasting impact on your business if the file is poorly managed.

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Scope of Application and Actors Concerned
  • Platform operators : Operators putting sellers/service providers in contact with acquirers/customers via an electronic interface are targeted.
  • Types of activities concerned :
    • Sale of goods.
    • Provision of personal services.
    • Rental of means of transport.
    • Rental of real estate.
  • Exclusions :
    • Payment providers only.
    • Simple directories or advertisements without intermediation.
    • Cryptocurrency exchange services (subject to DAC 8).
    • Sale of digital products.
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Who are my customers?

Declarative Obligations and Procedure

  • Data collection and verification :
    • Gather the fiscal and identity information of sellers/service providers (tax number, VAT number, supporting documents for renting real estate, etc.).
    • Set up a verification register (traceability over 36 months).
  • Annual statement :
    • Format imposed by the administration (generally encrypted XML).
    • Transmit the data before January 31 N+1.
  • Information for sellers/service providers :
    • Each operator must inform its users about the collection and sharing of their data with the tax authorities concerned.

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What are my costs?

Sanctions and Non-Compliance Risks

  • Fines :
    • Up to 50,000€ for lack of declaration, breach of duty of care, or lack of information from sellers/service providers.
  • Blacklist of non-cooperative operators :
    • Possible inclusion on the blacklist, which can seriously damage the reputation of the platform.
  • Impact on business :
    • Strengthened fiscal controls and legal uncertainty (risks of more thorough investigations, loss of user confidence, etc.).

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What are my salaries?

Purpose and Objectives of the Reform

  • Strengthening fiscal transparency :
    • Better identify and control the income received via digital platforms.
  • Combating tax fraud and tax evasion :
    • Facilitate cooperation and data exchange between states of the European Union and, ultimately, of the OECD.
  • Ensuring fair treatment between operators :
    • Prevent certain online activities from evading fiscal or social obligations.

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How do you manage this obligation?

Our support

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DAC 7 rules may seem opaque and require both fiscal and IT control.

Cyplom has expertise in both areas and thus allows you to avoid penalties of up to €150,000 per year.

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Audit & Personalized approach

  • Initial Diagnosis : We analyze your business model and your activities to confirm the applicability of the DAC 7 regulation.
  • Adaptation of internal procedures : Identification of data collection points (onboarding, contracts, billing...) and verification of consistency with legal requirements.
  • Roadmap : Development of a precise schedule (collection, verification, declaration) and an action plan adapted to your operational constraints.
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Operational compliance

  • Collection & Verification : Implementation (or adjustment) of onboarding processes, sellers/service providers sheets, traceability register (36 months).
  • Automation & IT Security : assistance in generating, encrypting and transmitting data in XML format imposed by the tax authorities.
  • Declaration & Information : Consolidation of information, secure sending before January 31 N+1, and communication to users on the sharing of their data.
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Long-term follow-up & support

  • “Support & Compliance” Department : A dedicated contact person available to answer your questions, manage complaints or requests for information from the administration.
  • Support in case of control : Assistance in the preparation of supporting documents and defense in the event of litigation or tax audit.
  • Regulatory Updates : Continuous legal and technical monitoring to quickly adapt your procedures to possible changes (DAC 8, OECD extensions, etc.).
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Make an appointment now for a free diagnosis and let's build the roadmap together to secure your DAC 7 compliance.

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