Finance Act 2022
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Return of certain information by Reporting Platform Operators | ||
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82. (1) Part 38 of the Principal Act is amended by the insertion of the following section after section 891I: | ||
“Return of certain information by Reporting Platform Operators | ||
891J. (1) This section provides for the collection and reporting of certain information by reporting platform operators in respect of relevant activities undertaken by reportable sellers on their platforms. | ||
(2) In this section— | ||
‘active seller’, ‘additional activity’, ‘agreement in effect’, ‘consideration’, ‘entity’, ‘excluded seller’, ‘financial account identifier’, ‘goods’, ‘platform’, ‘platform operator’, ‘primary address’, ‘property listing’, ‘relevant activity’, ‘relevant service’, ‘reportable jurisdiction’, ‘reportable period’, ‘reportable seller’, ‘reporting platform operator’, ‘seller’ and ‘TIN’ have the same meaning as in the Model Rules; | ||
‘excluded platform operator’ means a platform operator registered under subsection (3) that demonstrates to the satisfaction of the Revenue Commissioners under paragraph (d) of that subsection that the excluded platform operator is not a reporting platform operator to which subsections (4) and (5) apply; | ||
‘Model Rules’ means the Model Rules for Reporting by Platform Operators with respect to Sellers in the Sharing and Gig Economy approved by the Organisation for Economic Cooperation and Development on 29 June 2020 and the Model Reporting Rules for Digital Platforms: International Exchange Framework and Optional Module for Sale of Goods approved by the Organisation for Economic Cooperation and Development on 17 June 2021; | ||
‘partner jurisdiction’ means any jurisdiction outside the State with which the State has an agreement or arrangement in effect under section 826(1B) pursuant to which the State may exchange on an automatic basis the information specified in subsection (5); | ||
‘Platform Operator ID’ means a unique individual identification number assigned to a platform operator by the Revenue Commissioners; | ||
‘relevant information’ has the meaning given to it by subsection (7)(a). | ||
(3) (a) Subject to paragraph (b), a platform operator that— | ||
(i) is resident in the State for tax purposes, or | ||
(ii) is not resident in the State or in any other jurisdiction but— | ||
(I) is incorporated in the State, | ||
(II) has a place of management in the State, or | ||
(III) has a permanent establishment in the State, | ||
shall register with the Revenue Commissioners as a platform operator for the purposes of this section. | ||
(b) The Revenue Commissioners shall assign a Platform Operator ID to a platform operator referred to in paragraph (a)(ii). | ||
(c) A platform operator that satisfies one or more of the conditions set out in clauses (I) to (III) of paragraph (a)(ii) and also satisfies those conditions in a partner jurisdiction shall not register with the Revenue Commissioners if it elects to register as a platform operator for the purposes of the Model Rules in that partner jurisdiction and notifies the Revenue Commissioners in writing of that election. | ||
(d) An excluded platform operator shall make a return, by 31 January of the year immediately following the end of the reportable period, to the Revenue Commissioners confirming that the excluded platform operator has not facilitated any relevant activity in the reportable period and provide such particulars as are necessary to demonstrate that the excluded platform operator is not a reporting platform operator to which subsections (4) and (5) apply. | ||
(4) A reporting platform operator registered in the State for the purposes of this section shall, by 31 January of the year immediately following the end of the reportable period— | ||
(a) make a return under this section to the Revenue Commissioners, and | ||
(b) provide to a reportable seller a copy of the information contained in that return in respect of such reportable seller. | ||
(5) A return made under subsection (4) shall contain— | ||
(a) the following details in respect of a reporting platform operator: | ||
(i) the name of the reporting platform operator; | ||
(ii) the registered office address of the reporting platform operator; | ||
(iii) the TIN of the reporting platform operator; | ||
(iv) the Platform Operator ID, where one has been assigned by the Revenue Commissioners; | ||
(v) the business name of each platform in respect of which the reporting platform operator is reporting, | ||
(b) the following details in respect of reportable sellers who are individuals: | ||
(i) the first name and last name of each reportable seller; | ||
(ii) the primary address of each reportable seller; | ||
(iii) the TIN issued to each reportable seller; | ||
(iv) the jurisdiction of issuance of the TIN; | ||
(v) the date of birth of each reportable seller, | ||
(c) the following details in respect of reportable sellers who are not individuals: | ||
(i) the legal name of each reportable seller; | ||
(ii) the primary address of each reportable seller; | ||
(iii) any TIN issued to each reportable seller, and where a reportable seller has a TIN issued by more than one jurisdiction, the jurisdiction of issuance of each TIN; | ||
(iv) the business registration number of each reportable seller, | ||
(d) the following details in respect of all reportable sellers: | ||
(i) the total consideration paid or credited to each reportable seller during each quarter of the reportable period and the number of relevant activities in respect of which the consideration was paid or credited; | ||
(ii) any fees, commissions or taxes withheld or charged by the reporting platform operator with respect to each reportable seller during each quarter of the reportable period; | ||
(iii) the financial account identifier of each reportable seller, insofar as the financial account identifier is available to the reporting platform operator; | ||
(iv) where different from the name of a reportable seller, the name of the holder of the financial account to which the consideration is paid or credited, to the extent available to the reporting platform operator, as well as any other financial identification information available to the reporting platform operator with respect to that account holder; | ||
(v) each jurisdiction in which each reportable seller is resident, as determined pursuant to paragraph D of Section II of the Model Rules for Reporting by Platform Operators with respect to Sellers in the Sharing and Gig Economy approved by the Organisation for Economic Cooperation and Development on 29 June 2020, | ||
(e) where the relevant activity of a reportable seller involves the rental of immovable property, in addition to the information specified in paragraphs (b) to (d), the following information in respect of each reportable seller: | ||
(i) the address of each property listing; | ||
(ii) the unique identifier, or identifiers, allocated under the Registration of Title Act 1964 to the land of each property listing, if available, or its equivalent under the law of the jurisdiction where it is located, where available; | ||
(iii) the total consideration paid or credited during each quarter of the reportable period and the number of relevant activities provided with respect to each property listing; | ||
(iv) where available, the number of days each property listing was rented during the reportable period and the type of each property listing, | ||
and | ||
(f) such other information as may be prescribed in regulations made by the Revenue Commissioners under subsection (9). | ||
(6) A reporting platform operator shall put in place such procedures as may be prescribed in regulations under subsection (10)(c) to identify when a seller becomes a reportable seller. | ||
(7) (a) A seller, that is not an excluded seller, shall provide to the reporting platform operator such information as is necessary for that reporting platform operator to comply with the reporting obligations imposed under subsection (5) (referred to in this subsection as the ‘relevant information’). | ||
(b) Where a reportable seller does not provide the relevant information to the reporting platform operator, the reporting platform operator, on the day immediately following the expiration of the period referred to in paragraph (c)(ii) (referred to in this paragraph as the ‘first-mentioned date’), shall— | ||
(i) where the reporting platform operator processes payments of consideration on behalf of the reportable seller— | ||
(I) withhold payment of any consideration due to the reportable seller, | ||
(II) prevent the reportable seller from connecting with other users of the platform for the purpose of arranging relevant activities, and | ||
(III) prevent the reportable seller from opening another account with that reporting platform operator, | ||
until such time as the relevant information has been provided, and if the relevant information is not provided by the reportable seller to the reporting platform operator within 24 months of the first-mentioned date— | ||
(A) pay any consideration referred to in subparagraph (i)(I) to the reportable seller, | ||
(B) close the account of the reportable seller, and | ||
(C) prevent the reportable seller from reopening the account, or from opening a new account with the reporting platform operator, until such time as the relevant information has been provided, | ||
or | ||
(ii) where the reporting platform operator does not process payments of consideration on behalf of the reportable seller— | ||
(I) close the account of the reportable seller, and | ||
(II) prevent the reportable seller from reopening the account, or from opening a new account with the reporting platform operator, until such time as the relevant information has been provided. | ||
(c) A reporting platform operator shall not take any action referred to in paragraph (b) before— | ||
(i) the reporting platform operator has issued 2 reminders in writing to the reportable seller following the initial request for relevant information, and | ||
(ii) 60 days have passed from the date on which the second reminder referred to in subparagraph (i) has been issued. | ||
(8) A reporting platform operator may, subject to such conditions relating to the appointment of a third party as may be prescribed in regulations made under this section, appoint a third party to carry out the duties and obligations imposed on it by this section. | ||
(9) The Revenue Commissioners, with the consent of the Minister for Finance, may make regulations under this section with respect to the registration of platform operators with the Revenue Commissioners and the return by a reporting platform operator of information regarding relevant activities undertaken by reportable sellers on their platform. | ||
(10) Regulations made under this section may (without prejudice to the generality of subsection (9)), in particular, include provision for— | ||
(a) in respect of the requirements imposed on platform operators by subsection (3), the period within which such requirements shall be satisfied, | ||
(b) in respect of a return required to be made under subsection (4)— | ||
(i) the manner in which returns are to be made, | ||
(ii) the currency in which the reporting platform operator is required to report, and | ||
(iii) the rules for conversion of amounts, denominated other than in the currency referred to in subparagraph (ii), into that currency, for the purposes of making a return under subsection (4), | ||
(c) in respect of the requirement imposed on the platform operators by subsection (6), the procedures to be put in place by a reporting platform operator for the purposes of identifying when a seller becomes a reportable seller, | ||
(d) in respect of the requirement imposed on platform operators by subsection (7)(b), the procedures to be followed where, and the requirements to be satisfied before, a platform operator— | ||
(i) withholds payment of consideration pursuant to subsection (7)(b)(i)(I) , | ||
(ii) prevents a reportable seller from connecting with other users of the platform pursuant to subsection (7)(b)(i)(II) , | ||
(iii) prevents a reportable seller from opening another account pursuant to subsection (7)(b)(i)(III) , | ||
(iv) pays any consideration pursuant to subsection (7)(b)(i)(A), | ||
(v) closes the account of a reportable seller pursuant to subsection (7)(b)(i)(B) or subsection (7)(b)(ii)(I) , or | ||
(vi) prevents the reportable seller from reopening an account, or from opening a new account, pursuant to subsection (7)(b)(i)(C) or subsection (7)(b)(ii)(II) , | ||
(e) the records and documents that are required to be provided by the seller, that is not an excluded seller, to the reporting platform operator to enable the reporting platform operator to comply with the obligations imposed by paragraph (b), (c), (d) or (e), as the case may be, of subsection (5), | ||
(f) the records and documents provided by the seller, that is not an excluded seller, to the reporting platform operator to enable the reporting platform operator to comply with the obligations imposed by paragraph (b), (c), (d) or (e), as the case may be, of subsection (5) that are required to be retained by the reporting platform operator, | ||
(g) the appointment of a third party by a reporting platform operator to carry out the duties and obligations imposed on it by this section or regulations made under this section, | ||
(h) in relation to any of the matters specified in paragraphs (a) to (g), the manner in which records shall be kept and the period for the retention of records so kept as provided for in paragraph (3) of Section IV of the Model Rules for Reporting by Platform Operators with respect to Sellers in the Sharing and Gig Economy approved by the Organisation for Economic Cooperation and Development on 29 June 2020, and | ||
(i) such supplemental and incidental matters as appear to the Revenue Commissioners to be necessary— | ||
(i) to enable persons to fulfil their obligations under the regulations, or | ||
(ii) for the general administration and implementation of the regulations. | ||
(11) Every regulation made under this section shall be laid before Dáil Éireann as soon as may be after it is made and, if a resolution annulling the regulation is passed by Dáil Éireann within the next 21 days on which Dáil Éireann has sat after the regulation is laid before it, the regulation shall be annulled accordingly, but without prejudice to the validity of anything previously done thereunder. | ||
(12) The Revenue Commissioners may authorise in writing any of their officers to exercise any powers to perform any acts or discharge any functions conferred by this section or regulations made under this section. | ||
(13) Subject to subsection (14), a Revenue officer authorised under subsection (12) may at all reasonable times enter any premises or place of business of a reporting platform operator for the purposes of— | ||
(a) enquiring into, and determining, whether information regarding a relevant activity— | ||
(i) included in a return made under subsection (4), or regulations made under this section, by the reporting platform operator was correct and complete, or | ||
(ii) not included in such a return was correctly not so included, | ||
or | ||
(b) examining the procedures put in place by the reporting platform operator for the purposes of ensuring compliance with that platform operator’s obligations under this section or regulations made under this section. | ||
(14) An authorised officer shall not, other than with the consent of the occupier, enter a private dwelling without a warrant issued under subsection (15) authorising the entry. | ||
(15) A judge of the District Court, if satisfied on the sworn evidence of an authorised officer that— | ||
(a) there are reasonable grounds for suspecting that any information or records, as the authorised officer may reasonably require for the purposes of his or her functions under this section, is or are held on any premises or part of any premises, and | ||
(b) an authorised officer, in the performance of his or her functions under this section has been prevented from entering the premises or any part thereof, | ||
may issue a warrant authorising the authorised officer, accompanied if necessary by other persons, at any time or times within 30 days from the date of issue of the warrant and on production if so requested of the warrant, to enter, if need be by reasonable force, the premises or part of the premises concerned and perform all or any of the functions conferred on the authorised officer under this section. | ||
(16) (a) Subject to paragraph (c), section 898O shall apply to— | ||
(i) a failure by a reporting platform operator to make a return required under subsection (4) or regulations made under this section, and | ||
(ii) the making of an incorrect or incomplete return under subsection (4) or regulations made under this section, | ||
as it applies to a failure to deliver a return or to the making of an incorrect or incomplete return referred to in section 898O. | ||
(b) A penalty shall not be imposed on a platform operator under section 898O for the making of an incorrect or incomplete return referred to in paragraph (a)(ii) where— | ||
(i) the platform operator makes an incomplete or incorrect return solely due to the failure by a reportable seller to provide the relevant information under subsection (7)(a), and | ||
(ii) the platform operator has complied with the procedures set out in subsection (7)(b) and in any regulations made under subsection (10)(d) with respect to the failure by the reportable seller as referred to in subparagraph (i). | ||
(c) A person who does not comply with— | ||
(i) the requirements of a Revenue officer in the exercise or performance of the officer’s powers or duties under this section or regulations made under this section, or | ||
(ii) any requirement of such regulations, | ||
shall be liable to a penalty of €1,265. | ||
(17) Where arrangements are entered into by any person and the main purpose or one of the main purposes of the arrangements, or any part of them, is the avoidance of any of the obligations imposed under this section or regulations made under this section, then this section and those regulations shall apply as if the arrangements, or that part of them, had not been entered into. | ||
(18) A word or expression which is used in this section or in regulations made under this section and which is also used in the Model Rules has, unless the context otherwise requires, the same meaning in this section or in those regulations as it has in the Model Rules. | ||
(19) Sections 888 and 890 shall not apply to a reporting platform operator where that reporting platform operator has fulfilled the obligations imposed under this section and regulations made under this section. | ||
(20) This section shall not apply to a reportable seller and a relevant activity in respect of which a reporting platform operator has made a return under section 891I.”. | ||
(2) Subsection (1) shall come into operation on such day as the Minister for Finance may by order appoint. |