Airbnb welcomes common tax framework for digital platforms – EURACTIV.com
Airbnb welcomed the agreement reached between EU member states to create a common tax reporting framework for digital platforms, which will require sales to be reported to tax authorities.
Last week, the EU Council, currently chaired by Portugal, adopted new rules to improve administrative cooperation in tax matters, requiring operators of digital platforms to report income obtained by sellers.
The Airbnb tourist accommodation platform reacted to this adoption on Tuesday, March 30, declaring in a statement sent to Lusa that it welcomes these new rules which would support a more coherent, standardized and international approach to the sharing of income information. obtained through the platforms. .
“We want to be a good partner in tax matters, and this measure will allow us to work with more governments to help hosts comply with the rules,” explains the North American company created in 2007 and which is present in more than 220 countries in the world, in a total of more than 100,000 cities with active announcements.
The new rules respond to the challenges posed by the digital economy, adopted a week ago by the Council of the EU. It will enter into force on 1 January 2023 and will cover digital platforms located inside and outside the EU (such as Facebook or Instagram).
A revision of the European directive on administrative cooperation in the tax field, from this date, means that operators of digital platforms will have to declare the income earned by sellers on their platforms and for Member States to automatically exchange this information, explained the Council of the EU. at the time in the statement.
According to the Council, the new rules will allow national tax authorities to detect income obtained through digital platforms and determine the relevant tax obligations.
This revision aims to extend European tax rules to companies sold via social networks like Facebook or Instagram, which have developed, in particular because of the pandemic and the restrictive measures adopted for physical sales.
However, despite the growing number of people and businesses using digital platforms to sell goods or provide services, these incomes usually go unreported and taxes go unpaid.
This situation leads Member States to lose tax revenue and creates inequalities compared to traditional shops and stores.
In July 2020, the European Union proposed rules for greater tax transparency in the EU, aimed at making those who earn money through online platforms pay taxes based on their income and preventing tax evasion.
[Edited by Josie Le Blond]