Finance Law for 2016 – new declaratory obligations for contact platforms

March 29th 2016

As from July 1, 2016, the legislator reinforced the information and declaratory obligations for the websites proposing transactions made by individuals (referred to as the “Anti Air Bnb” amendment).

This measure shall oblige companies establishing remote electronic contacts for individuals for the sale of an item or service (web platforms) to comply with two types of obligation:

  • An information obligation: the platform must provide, for each transaction, genuine, clear and transparent information on the social and tax obligations incumbent on individuals who make transactions via the platform. This information may be drawn from the elements made available by the relevant authorities (e.g. tax authorities or social administrations websites).

Furthermore, the platforms must make available a link to the administrations’ websites, enabling the parties concerned to comply with their tax and social obligations.

Finally, in January each year, the platform provider must provide its users with a document summarizing the gross amount of the transactions made via the platform during the previous year. This shall enable the platform users, as the case may be, to declare under their liability, the amounts considered as taxable income and subject to social contributions.

  • A communication obligation: each year before March 15, the platforms must provide the tax administration with a certificate drawn up by a third party certifying the compliance of their information obligation for the previous year. Failure to comply with such obligation shall be sanctioned by a fine for an amount of 10,000 €.

The websites in question must, for the first time before March 15, 2017, obtain such certificate for the operations accomplished from July 1 to December 31, 2016 and must provide this document to the tax administration before said date.

As the application decrees have not yet been published, it is difficult to anticipate the actual implementation of the measure for the platforms, in particular concerning the type of information to be provided to the users.

Clément Resta