DAC6 Reporting – will the reporting starting date postponed due to COVID-19?

DAC6 Reporting – will the reporting starting date postponed due to COVID-19?

Acc. to the EU-Directive crossborder arrangements need to get reported to the tax authorities within 30 days starting July 1, 2020.

Due to the COVID-19 situation the German Industrial Association (BDI) has proposed to postpone the starting date to July 1, 2021 (https://bdi.eu/media/publikationen/#/publikation/news/acht-punkte-steuerplan-zur-bewaeltigung-der-corona-krise/).

In general, this seems quite reasonable, also considering the current technical issues with the reporting interfaces to the German Tax Authorities (BZSt).

However, the problem is that in a crossborder arrangement two jurisdictions are involved. So, even if only one country postpones the reporting, the reporting party faces the respective severe penalties in the other country. Therefore, a unilateral approach won’t work.

This in mind, we urgently recommend to ensure  that the DAC6 reporting can start in time Рinspite of the Corona crisis!

In case you need support, we would be happy to help. Just let us know.

Stefan Kienzler, TAXCOMTECH