The OECD Model Rules and DAC7: A Critical Assessment of Selected Design and Enforcement Issues

Abstract

The OECD Model Rules and DAC7 have introduced a standardized reporting requirement for Platform Operators, forcing them to review and report information on the income and transactions of sellers. Amongst others, this article addresses two mandatory provisions that are included in DAC7 that may create some concerns. First, the inclusion of SME platforms raises issues regarding the limited resources and high opportunity costs for such platforms. Second, the obligation for non-EU platforms to report on EU sellers raises concerns regarding administration and enforceability.