UK: Update on new reporting rules for online platforms


Last month we reported on the Model OECD Reporting Rules for Digital Platformsand the main lessons learned from the results of the government’s consultation on the implementation of these rules.

HMRC has now published draft regulations (18 October) incorporating the Model OECD Reporting Rules for Digital Platforms, which will be of interest to digital platforms that facilitate the provision of various services such as taxi and ride-hailing services, food delivery services and self-employment, as well as the sale of goods or the rental of goods or transportation. The government is inviting technical comments on the draft regulations until December 13, 2022 to help inform areas that will require further clarification in the detailed guidance to follow. HMRC will also be happy to meet with businesses to discuss any technical issues raised by the proposed regulations. The final regulations are expected to be adopted in early 2023 to enter into force on January 1, 2024.

As well as reaffirming penalties for non-compliance, HMRC highlights other notable points, including: (1) the requirement for reporting platforms to keep records for a period of 5 years of actions taken to comply with regulations (including information collected as part of the application of due diligence); (2) the requirement for platforms to notify HMRC whether they will be subject to these rules or fall under an exemption; (3) that reporting platforms will not be required to report reportable seller information where the platform reasonably believes that another platform is required to report (and will report) the information it would otherwise have declared in respect of that vendor, and (4) that reports shall be made electronically using an electronic reporting system in accordance with instructions (to be) provided by HMRC, which if not made in the required format, will not be deemed to have been made. Further details are pending on the electronic reporting system to be used by the platforms.


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