Issue: № 6, 2025
Doi: https://doi.org/10.37634/efp.2025.6.1
Introduction. This research focuses on the Ukrainian legislative initiative aimed at implementing Council Directive (EU) 2021/514 (DAC7), which introduces new reporting obligations for digital platform operators and provides a framework for automatic exchange of tax-related information between tax authorities of EU member states. The draft law, prepared by the Ministry of Finance of Ukraine, is part of the broader effort to align national legislation with European Union law and OECD standards. The purpose of the paper is to assess the level of compliance of the Ukrainian draft law with the provisions of DAC7, as well as to identify challenges related to the implementation of the new reporting system. Special attention is paid to the practical implications for digital platform operators and users, as well as to the risks of administrative overburden and legal uncertainty. Results. The draft law reproduces the main substantive provisions of DAC7, including definitions of reportable activities (e.g. sale of goods, rental of property, personal services), reporting deadlines (by 31 January of the year following the reporting period), and the required scope of information. It also introduces a preferential tax rate of 5% for individuals who meet specific conditions. However, several issues remain. The law assigns platform operators the status of tax agents, which is inconsistent with DAC7, and omits the minimum reporting thresholds (30 transactions or EUR 2000). Moreover, the absence of a transitional period may complicate adaptation for businesses. Conclusion. Although the draft law demonstrates Ukraine’s intention to fulfil international tax transparency obligations and deepen integration with the EU, certain provisions deviate from the DAC7 framework. To ensure legal clarity and align with EU practices, the draft law requires further refinement. Effective implementation will depend on maintaining a balanced approach that considers the interests of both the state and market participants.
Keywords : DAC7, taxation, digital platform operators, digital economy, tax legislation, European integration, OECD, tax legal relations, tax reporting
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