DAC8 Article 1 — held amending text

DAC8 Article 1 — held amending text Article 1 Directive 2011/16/EU is amended as follows:

(1) Article 3 is amended as follows:

(a) point 9 is amended as follows:

(i) in the first subparagraph, point (a) is replaced by the following: ‘(a) for the purposes of Article 8(1) and Articles 8a to 8ad, the systematic communication of predefined information to another Member State, without prior request, at pre-established regular intervals.

For the purposes of Article 8(1), reference to available information relates to information in the tax files of the Member State communicating the information, which is retrievable in accordance with the procedures for gathering and processing information in that Member State;’; (ii) in the first subparagraph, point (c) is replaced by the following: ‘(c) for the purposes of provisions of this Directive other than Article 8(1) and (3a) and Articles 8a to 8ad, the systematic communication of predefined information provided in the first subparagraph, points (a) and (b), of this point.’; (iii) the second subparagraph is replaced by the following: ‘In the context of this Article, Articles 8(3a), 8(7a), 21(2) and Annex IV, any capitalised term shall have the meaning that it has under the corresponding definitions set out in Annex I.

In the context of Article 21(5) and Article 25(3) and (4), any capitalised term shall have the meaning that it has under the corresponding definitions set out in Annex I, V or VI.

In the context of Article 8aa and Annex III, any capitalised term shall have the meaning that it has under the corresponding definitions set out in Annex III.

In the context of Article 8ac and Annex V, any capitalised term shall have the meaning that it has under the corresponding definitions set out in Annex V.

In the context of Article 8ad and Annex VI, any capitalised term shall have the meaning that it has under the corresponding definitions set out in Annex VI.’;

(b) in point 14, first subparagraph, point (d) is replaced by the following: ‘(d) relates to a cross-border transaction, or to the question of whether or not activities carried on by a person in another jurisdiction create a permanent establishment or to the question of whether or not a natural person is resident for tax purposes in the Member State issuing the ruling; and’;

(c) the following points are added:  ‘28. “non-custodial dividend income” means dividends or other income treated as dividends in the payer’s Member State which are paid or credited to an account other than a Custodial Account as defined in Section VIII, subparagraph C(3), of Annex I;

29. “life insurance products not covered by other Union legal instruments on exchange of information and other similar measures” means Insurance Contracts, other than Cash Value Insurance Contracts subject to reporting under Section I of Annex I, where benefits under the contracts are payable on death of a policy holder;

30. “distributed ledger address” means distributed ledger address referred to in Regulation (EU) 2023/1114 of the European Parliament and of the Council (*1);

31. “client” means, for the purposes of Article 8ab, any intermediary or relevant taxpayer that receives services, including assistance, advice, counsel or guidance, from an intermediary subject to legal professional privilege in relation to a reportable cross-border arrangement. (*1) Regulation (EU) 2023/1114 of the European Parliament and of the Council of 31 May 2023 on markets in crypto-assets, and amending Regulations (EU) No 1093/2010 and (EU) No 1095/2010 and Directives 2013/36/EU and (EU) 2019/1937 (OJ L 150, 9.6.2023, p.

40).’;" (2) Article 8 is amended as follows:

(a) in paragraph 1, the first subparagraph is replaced by the following: ‘1.

The competent authority of each Member State shall, by automatic exchange, communicate to the competent authority of any other Member State all information that is available concerning residents of that other Member State, on the following specific categories of income and capital as they are to be understood under the national legislation of the Member State which communicates the information:

(a) income from employment;

(b) director’s fees;

(c) income from life insurance products not covered by other Union legal instruments on exchange of information and other similar measures;

(d) pensions;

(e) ownership of and income from immovable property;

(f) royalties;

(g) non-custodial dividend income other than income from dividends exempt from corporate income tax pursuant to Articles 4, 5 or 6 of Council Directive 2011/96/EU (*2). (*2) Council Directive 2011/96/EU of 30 November 2011 on the common system of taxation applicable in the case of parent companies and subsidiaries of different Member States (OJ L 345, 29.12.2011, p.

8).’;" (b) in paragraph 2, the following subparagraph is added: ‘Before 1 January 2026, Member States shall inform the Commission of at least five categories listed in paragraph 1, first subparagraph, in respect of which the competent authority of each Member State shall, by automatic exchange, communicate to the competent authority of any other Member State information concerning residents of that other Member State.

Such information shall concern taxable periods starting on or after 1 January 2026.’;

(c) paragraph 7a is replaced by the following: ‘7a.

Member States shall ensure that entities and accounts that are to be treated, respectively, as Non-Reporting Financial Institutions and Excluded Accounts satisfy all the requirements listed in Section VIII, subparagraph B(1), point (c), and subparagraph C(17), point (g), of Annex I, and in particular that the status of a Financial Institution as a Non-Reporting Financial Institution or the status of an account as an Excluded Account does not frustrate the purposes of this Directive.’ ;

(3) Article 8a is amended as follows:

(a) paragraph 4 is replaced by the following: ‘4.

Paragraphs 1 and 2 shall not apply in a case where an advance cross-border ruling exclusively concerns and involves the tax affairs of one or more natural persons, except where such an advance cross-border ruling was issued, amended or renewed after 1 January 2026 and where:

(a) the amount of the transaction or series of transactions of the advance cross-border ruling exceeds EUR 1 500 000 (or the equivalent amount in any other currency), if such amount is referred to in the advance cross-border ruling; or (b) the advance cross-border ruling determines whether a person is or is not resident for tax purposes in the Member State issuing the ruling.

For the purposes of the first subparagraph, point (a), and without prejudice to the amount referred to in the advance cross-border ruling, in a series of transactions regarding different goods, services or assets the amount of the advance cross-border ruling shall comprise the total underlying value.

The amounts shall not be aggregated if the same goods, services or assets are transacted several times.

Notwithstanding the first subparagraph, point (b), the exchange of information on advance cross-border rulings concerning natural persons shall not include such rulings on taxation at source with regard to non-residents’ income from employment, director’s fees or pensions.’ ;  (b) paragraph 6 is amended as follows:

(i) point (a) is replaced by the following: ‘(a) the identification of the person, other than a natural person, except where the advance-cross border ruling concerns a natural person and shall be communicated pursuant to paragraphs 1 and 4, and where appropriate the group of persons to which it belongs;’; (ii) point (k) is replaced by the following: ‘(k) the identification of any person, other than a natural person, except where the advance-cross border ruling concerns a natural person and shall be communicated pursuant to paragraphs 1 and 4, in the other Member States, if any, likely to be affected by the advance cross-border ruling, or advance pricing arrangement (indicating to which Member States the affected persons are linked); and’;

(4) Article 8ab is amended as follows:

(a) in paragraph 5, the first subparagraph is replaced by the following: ‘5.

Each Member State may take the necessary measures to give intermediaries the right to a waiver from filing information on a reportable cross-border arrangement where the reporting obligation would breach the legal professional privilege under the national law of that Member State.

In such circumstances, each Member State shall take the necessary measures to require any intermediaries that have been granted a waiver to notify, without delay, their client, if that client is an intermediary or, where there is no such intermediary, that client is the relevant taxpayer, of that client’s reporting obligations under paragraph 6.’ ;

(b) paragraph 14 is amended as follows:

(i) point (a) is replaced by the following: ‘(a) the identification of intermediaries, other than intermediaries exempt from the reporting obligation on account of the legal professional privilege pursuant to paragraph 5, and relevant taxpayers, including their name, date and place of birth (in the case of an individual), residence for tax purposes, TIN and, where appropriate, the persons that are associated enterprises to the relevant taxpayer;’; (ii) point (c) is replaced by the following: ‘(c) a summary of the content of the reportable cross-border arrangement, including a reference to the name by which it is commonly known, if any, and a description of the relevant arrangements and any other information that could assist the competent authority in assessing a potential tax risk, without leading to the disclosure of a commercial, industrial or professional secret or of a commercial process, or of information whose disclosure would be contrary to public policy;’;

(5) in Article 8ac(2), first subparagraph, the following point is added: ‘(m) the Identification Service identifier and the Member State of issuance, where the Reporting Platform Operator relies on direct confirmation of the identity and residence of the Seller through an Identification Service made available by a Member State or the Union to ascertain the identity and tax residence of the Seller; in such cases it is not necessary to communicate to the Member State of issuance of the Identification Service identifier the information referred to in points (c) to (g).’;

(6) the following Article is inserted:

32023L2226

Legal text reproduced from the official source under Commission Decision 2011/833/EU. Only the official publication is authentic. This page shows our saved copy of the text. It is not advice and does not decide whether any provision applies to anyone.