FTA publishes new DAC 7 administrative guidelines

This article was first published on Tax@Hand, and is reproduced on this blog with the authorization of its authors.


A decree setting out rules relating to the new DAC 7 reporting obligation was published in France’s Official Journal on 28 December 2022. A few days later, on 11 January 2023, the French tax authorities (FTA) published administrative guidelines on the new obligation (BOI-INT-AEA-30 11/01/2023, in French only).

The EU DAC 7 directive was implemented into French law in December 2021 as part of the 2022 finance bill. As from 1 January 2023, digital platform operators that are French tax resident or that have a territorial link with France must report to the FTA information on sellers or service providers using their platform to sell goods or provide services specifically listed in the law. Digital platform operators will have to make their first reporting relating to the year 2023 before 31 January 2024.

The key features of the new decree and administrative guidelines are summarized below:

  • Territorial scope of the reporting obligation: Platform operators fulfilling at least one of the territorial link criteria listed in article 1649 ter B of the French Tax Code in several EU member states (including France) may choose to fulfill their reporting obligation in one member state but must inform all the other member states to which they have a territorial link of that choice. Regarding France, platform operators must send this information to the FTA at the following address: france.aeoi@dgfip.finances.gouv.fr (model form: BOI-LETTRE-000270). No time limit is specified.
  • Nature of the transactions covered by the reporting obligation: The FTA indicates that the reporting obligation is triggered as soon as the transaction is deemed completed (i.e., the payment of the relevant transaction was made to the seller/service provider during the reporting period). The administrative guidelines clarify which transactions give rise to the reporting obligation (i.e., sale of goods, rental of immovable property, provision of personal services, and rental of any mode of transport). Examples of excluded sellers and service providers also are provided.
  • Due diligence procedures applicable to reporting platform operators: The general due diligence rules are clarified, as are the platform operators’ requirement to collect information and the requirement for sellers and service providers to fulfill their due diligence obligations.
  • Content of the declaration:
    • The declaration must identify the platform operator, seller/service provider, and holder of the financial account receiving the payment, as well as include information regarding the payment itself.
    • In its guidance, the FTA also addresses the full or partial repayment of a reportable transaction.
    • Finally, details are provided regarding the reporting procedures for the “fees, commissions, or taxes” that must be declared separately from the payment of the reportable transaction.
  • Reporting procedures: Platform operators must file an electronic report with the FTA in an XML format; further details will be provided on the FTA website.
  • Delegation of the reporting obligation: Platform operators subject to the DAC 7 reporting obligation can designate a third party (service provider or other platform operator) to fulfill their obligation. This delegation does not release the platform operator from its reporting obligation, nor from its liability.
  • Obligation to communicate the data transferred to the FTA: Model documents will be provided on the FTA website to assist platform operators in fulfilling their obligation to communicate to the sellers/providers the data transferred to the FTA.
  • Data retention: Platform operators must store data related to their DAC 7 obligations for 10 years following the year a reporting obligation is triggered.
  • Penalties: The FTA indicates that penalties for non-compliance imposed on platform operators will be addressed in separate administrative comments. As a reminder, failure to comply with the DAC 7 reporting requirements may result in a monetary penalty of up to EUR 50,000 per operator.
Alice de Massiac

Alice de Massiac, Partner, has developed extensive expertise in supporting major French and foreign multinational companies, both in consulting and tax controversy, anticipating the impact of the proposed recommendations in […]

Myriam Mouloudj

Myriam has been working in the tax field for almost 15 years. Joining Deloitte Société d’Avocats in 2006, she went back in the law firm in 2019 as a member […]