DAC7 Directive in Poland – Reporting Obligations for Digital Platform Operators

The DAC7 Directive (Council Directive EU 2021/514 of 22 March 2021) introduced mandatory reporting obligations for digital platform operators across the European Union. In Poland, the implementing act entered into force on 1 July 2024, making the obligations active. This article outlines what the directive requires, who is affected, what data must be reported, and what penalties apply for non-compliance.

What Is the DAC7 Directive?

DAC7, adopted by the European Union in 2021, is a directive requiring member states to expand the scope of information that digital platforms must report to national tax authorities. It extends the existing framework of administrative cooperation in tax matters (Directive 2011/16/EU) to cover transactions conducted through online platforms.

The primary goals of the directive are to tighten and standardise national tax systems across the EU and to combat the exploitation of legal loopholes by individuals conducting commercial activities online without registering for tax purposes. By requiring platforms to collect and share detailed seller data, DAC7 enables tax authorities in different member states to automatically exchange this information and identify previously undeclared income.

Who Is Affected?

The provisions of DAC7 apply primarily to digital platform operators — entities that make a platform (website or application) available to sellers, enabling them to reach customers and complete transactions in:

• the sale of goods
• the provision of personal services
• the rental of immovable property or parts thereof
• the rental of modes of transport

The obligations also indirectly affect sellers using these platforms, who are required to provide accurate information to platform operators to enable compliant reporting.

Exemptions from reporting

Platform operators are not required to report data on:

• Occasional sellers who, during the 12-month reporting period, completed fewer than 30 transactions for the sale of goods and whose total remuneration did not exceed €2,000
• Government entities and publicly listed companies
• Large-scale property rental operators (such as hotel chains) who have conducted more than 2,000 rental transactions within a year within a specified group of properties

What Data Must Be Reported?

For each reportable seller, platform operators must collect and report:

• Full name (for individuals) or company name (for entities)
• Date of birth (for individuals)
• Tax Identification Number (TIN)
• VAT identification number (where available)
• Seller’s financial account identifier (where available)
• Country of residence
• Total remuneration paid or recognised in each quarter of the reporting period and the number of qualifying transactions per quarter
• Commissions, fees, or taxes withheld or collected by the platform operator per quarter

Obligations for Platform Operators

Under the Polish implementing act, digital platform operators are required to:

• Report seller data to the Head of the National Revenue Administration (KAS)
• Carry out due diligence procedures, including verifying the status of sellers, their country of residence, and the reliability of the information provided
• Register once in a chosen EU member state and obtain an individual platform identification number
• Adapt IT systems and internal procedures to capture all required data
• Update data protection (GDPR) procedures to reflect the new data collection obligations — sellers must be informed in writing about the processing of their data in connection with DAC7

Entry Into Force and Reporting Deadlines

Poland was originally required to implement DAC7 by 1 January 2023 but did not meet this deadline. The implementing act was signed on 23 May 2024 and took effect on 1 July 2024.

Importantly, the act applies retroactively — covering sellers who were active on platforms between 1 January 2023 and 30 June 2024. Entities meeting this criterion were required to:

• Complete due diligence procedures for sellers registered during this period by 31 December 2024
• Submit the first report — covering both 2023 and 2024 data — by 31 January 2025

Going forward, annual reports covering the preceding calendar year must be submitted by 31 January each year. The second report, covering 2025 data, was due by 31 January 2026.

Penalties for Non-Compliance

Penalties for platform operators — entities that fail to fulfil DAC7 obligations face fines of up to PLN 1,000,000. This covers:

• Failure to provide required seller information to the Head of the National Revenue Administration (unless appropriate requests were made and measures applied toward the seller)
• Failure to comply with due diligence procedures, including failure to collect required documentation
• Failure to rectify identified irregularities within the deadline set by the authority

Penalties for individuals acting on behalf of platform operators — persons who act in the name or interest of a platform operator and fail to comply with DAC7 obligations may face fines of up to 180 daily rates, which in practice can exceed PLN 10,000,000 at the upper end. This covers:

• Failure to comply with due diligence procedures and failure to report seller data to the National Revenue Administration
• Failure to register in the designated EU member state
• Failure to rectify irregularities identified during an audit within the required deadline

Summary

DAC7 is now fully operational in Poland. Platform operators facilitating the sale of goods, rental of property, provision of personal services, or rental of transport must report detailed annual seller data to Polish tax authorities by 31 January each year. The retroactive scope covering 2023 data, combined with penalties that can reach PLN 10,000,000 for individuals and PLN 1,000,000 for entities, makes compliance with these obligations essential.

For any questions about DAC7 obligations or digital platform compliance, our team of experts is ready to help: Contact us — amavat®