EU DAC7 rules for digital platforms to apply as from 1 Jan 2023 - how does it affect Upwork users?

[#1]

Council Directive (EU) 2021/514 amending Directive 2011/16/EU on administrative cooperation in the field of taxation (DAC 7) extends the EU tax transparency rules to digital platforms and introduces an obligation on “reporting platform operators” to collect, verify and report specific information with respect to “reportable sellers” that have undertaken “relevant activities” through their platforms. 

Member States are required to transpose the provisions of DAC 7 into national law by 31 December 2022 and the new rules will apply from 1 January 2023.

Could we please have an official commentary from Upwork whether the new regulations would affect EU-related Upwork's users and what and when would be changed for them?

[#2]

This is a really important question for all freelancers in the EU. 

Upwork, it would be good if you addressed this urgently.

1. Have your lawyers made a determination if upwork falls under the rules of this requirement or not? 

2. If yes, have you made preparations to follow it as required by law?

[#3]

Hi Mikhail,

Upwork is currently evaluating if and how the new DAC7 rules may apply to the platform or any EU-based users. EU member states are required to pass their own laws to implement the Directive by the end of this year, and these may differ somewhat from one another, so it is premature to say how specifically these new rules may impact our community. We will follow up with any affected users next year when we have clearer guidance on how DAC7 will be implemented and identify any potential effects or changes that users should expect.

[#4]

Thank you Valeria.

As a person in the EU I have a legal right to know to whom you transmit my data, so I request to be updated on this before this takes place. 

[#5]

Hi Valeria,

It has been almost five months since this thread and your response, and many of us who are based in the EU would like to have some clarity from Upwork on how it handles our data or who it transmits it to. Can we have an update with some actual information? Thanks!

[#6]

Hi, 

Could you please share some update about this?

[#7]

Hi All,

Exchange of information has not started yet under DAC 7. It is scheduled to start in January 2024 and we will have more information on the data that will be shared as it gets closer.

[#8]

Thanks, Valeria. So may we assume that you now know for sure that DAC7 rules apply to Upwork?  Last year you were evaluating this.

[#9]

Any news about it?

[#10]

Hi Krzystof,

As Valeria mentioned above, the exchange of information has not started yet under DAC 7. I assure you that we'll continue sharing your feedback with the team and providing updates to the Community about the team's initiatives as it gets closer to starting.

[#11]

Happy 2024... not so happy for Freelancers you neglect.
Today we are suposed to have the DAC 7  done.
There is no feed back there is complete indifference and shady silence over a TAX ISSUE that can HURT.
I DISLIKE HOW UPWORK DEALS WITH LEGAL ISSUES.

[#12]

following

[#13]

Is there any news? 🙂

[#14]

I would like to have info as well. I can't find any information on the datas that Upwork shares with EU.

[#15]

Up

[#16]

I would like to know too.

[#17]

Hello. For everyone inside Upwork with information about this.

Would be very good to have some clarifications about this.

Is it really starting only in January 2024?

All the information that you can tell about this would be good

[#18]

Fivrr allready has the Module sent to freelancer to fill in.
Obviously they also have different rules  aplied- where invoicing is to the platform not the client.
Upwork is still lagging behind, both in terms of contradictory  statements:
One cannot and should not have a direct invoicing with clients  but
One should not invoice to Upwork
One contradicts the other.
Also no news about the module.
Is Upwork going tolward  closing? Is the business going down the drain?
Does Upwork stands above the law?

[#19]

this is Fivrr. They  are legaly asking the data
**Edited for Community Guidelines**

Upwork is not  making any move. And this determines a very high level of uncertainity and  shady environment the worst way of  doing business imho.

There is no time to wait anymore. Unfortunately  they DONT'CARE

[#20]

https://support.upwork.com/hc/en-us/articles/23852018972819?utm_source=forethought-chat&utm_lp=foret...

check this.

The information is there

[#21 · Accepted solution]

Hi everyone, 

I want to note that we've posted about this recently here, and here is more information and FAQs for those who have additional questions about this new EU tax law. If you have further questions, don't hesitate to contact the Upwork Support Team so they can assist you.