Lisa Lokasto

DAC7 (Directive 2021/514) is part of the EU’s broader tax cooperation strategy. It makes platforms (like Airbnb, Etsy, Vinted, Depop, and Fiverr) report certain income and key details of sellers on the platforms.  

• Sales of goods
• Renting property or transport
• Providing personal services

Full Revenue guidance: Part 38-03-31 – Guidance on reporting obligations of Platform Operators

How Does This Affect Creators, Influencers & Side-Hustlers?

Platforms have to report on all sellers, not just big earners. However, certain casual sellers are exempt, specifically, those with fewer than 30 transactions per year and under €2,000 in turnover (note: that’s turnover, not profit)

Platforms have already started collecting this data since 2023.
Although DAC7 was introduced in 2023, the first actual exchange of information between platforms and EU tax authorities happened in February 2024.
That report covered all of 2023 activity on platforms like Vinted, Etsy, Airbnb, and Fiverr.

So, if you sold goods or services online in 2023 and exceeded the thresholds (€2,000 turnover or 30+ transactions), your details may already have been reported to Revenue

Why 2025 Is the Key Year

Here’s why 2025 will be a milestone tax year for DAC7 enforcement:

• It’s the first year many side-hustlers and resellers will be filing income returns after DAC7 data was shared
• Revenue will cross-check returns against platform reports from 2023.
• Those who were reported under DAC7 but don’t file matching income could be contacted.
• In Ireland, if you start trading as a new sole trader, you don’t have to file your first income tax return until the second year after you start (Part 41-00-28 – A Guide to Self Assessment)

Example:

• You start earning self-employed income in May 2023
• You don’t have to file a return in 2024
• Your first tax return (Form 11) will be due by October/November 2025
• That return will include all your income from 2023 and 2024
• This is why the tax filing deadline 2025 is an important one for sellers using online platform. If Revenue sees income reported under DAC7 but your 2023 return hasn’t been filed (yet, because of the grace period), that’s fine, unless you don’t register and file by the Oct/November deadline this year.

What You Should Do NOW!

• Check your activity level
• Get your tax affairs in order now!

DAC7 Isn’t a Tax , It’s Visibility

DAC7 puts your online income squarely on Revenue’s radar. If you were hoping to fly under it, you best think again.

Need help interpreting how much or how little this applies to you? I’m happy to walk you through it.

Not sure where you stand?
If you’re unsure about your obligations or how DAC7 applies to you, it’s essential to seek advice. Proper guidance can help you stay compliant and avoid potential issues with Revenue.

Reach out for a quick, no-obligation chat

-Lisa