EU adopts new rules in the tax sector
The post EU adopts new rules in the tax sector appeared on BitcoinEthereumNews.com. News in the crypto tax sector, with the European Union announcing that it has officially adopted the new directive for the tax sector: the DAC8 (the Eighth Directive on Administrative Cooperation). The new rules mainly aim to achieve automatic exchange of information on income from cryptocurrency transactions. Crypto taxes: European Union adopts DAC8 directive strengthening tax reporting The European Council issued a press release officially announcing that it has adopted DAC8 (the Eighth Directive on Administrative Cooperation). These are new rules that aim to strengthen cooperation between national tax authorities by establishing automatic communication covering income from cryptocurrency transactions and tax rulings for wealthy individuals. Basically, the European Union is scrambling to help member states meet the challenges posed by the digitization of the economy. In this regard, the European Council said thus: “So far, the decentralised nature of crypto-assets has made it difficult for member states’ tax administrations to ensure tax compliance. The inherent cross-border nature of crypto-assets requires strong international administrative cooperation to ensure effective tax collection.” And indeed, through DAC8, crypto companies will be required to report information on their clients’ holdings, which will be immediately shared with tax authorities. Crypto taxes: EU’s DAC8 includes stablecoin, NFT, DeFi and staking The DAC8 legislation includes under the word crypto-asset stablecoins, Non-Fungible Tokens (NFTs), decentralized finance tokens (DeFi) and income from staking on cryptocurrencies. Not only that, the European Council stressed that the provisions of DAC8 mirror the Crypto-Asset Reporting Framework (CARF) and a series of amendments to the Common Reporting Standard (CRS), prepared by the OECD under a G20 mandate. Specifically, they discuss provisions that address due diligence procedures, reporting requirements and other rules applicable to crypto-asset reporting service providers. In addition, the new provisions will complement existing regulations, such as the Regulation on Crypto-asset Markets (MiCA) and…
The post EU adopts new rules in the tax sector appeared on BitcoinEthereumNews.com.
News in the crypto tax sector, with the European Union announcing that it has officially adopted the new directive for the tax sector: the DAC8 (the Eighth Directive on Administrative Cooperation). The new rules mainly aim to achieve automatic exchange of information on income from cryptocurrency transactions. Crypto taxes: European Union adopts DAC8 directive strengthening tax reporting The European Council issued a press release officially announcing that it has adopted DAC8 (the Eighth Directive on Administrative Cooperation). These are new rules that aim to strengthen cooperation between national tax authorities by establishing automatic communication covering income from cryptocurrency transactions and tax rulings for wealthy individuals. Basically, the European Union is scrambling to help member states meet the challenges posed by the digitization of the economy. In this regard, the European Council said thus: “So far, the decentralised nature of crypto-assets has made it difficult for member states’ tax administrations to ensure tax compliance. The inherent cross-border nature of crypto-assets requires strong international administrative cooperation to ensure effective tax collection.” And indeed, through DAC8, crypto companies will be required to report information on their clients’ holdings, which will be immediately shared with tax authorities. Crypto taxes: EU’s DAC8 includes stablecoin, NFT, DeFi and staking The DAC8 legislation includes under the word crypto-asset stablecoins, Non-Fungible Tokens (NFTs), decentralized finance tokens (DeFi) and income from staking on cryptocurrencies. Not only that, the European Council stressed that the provisions of DAC8 mirror the Crypto-Asset Reporting Framework (CARF) and a series of amendments to the Common Reporting Standard (CRS), prepared by the OECD under a G20 mandate. Specifically, they discuss provisions that address due diligence procedures, reporting requirements and other rules applicable to crypto-asset reporting service providers. In addition, the new provisions will complement existing regulations, such as the Regulation on Crypto-asset Markets (MiCA) and…
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