(1)

Tax fraud, tax evasion and tax avoidance represent a major challenge for the Union and at global level. Exchange of information is pivotal in the fight against such practices.

(1)

Tax fraud, tax evasion and tax avoidance represent a major challenge for the Union and at global level. It is estimated that Member States lose up to EUR 170 billion per year  (1a) as a result of tax fraud, tax evasion and tax avoidance, which significantly undermines the capacity to provide quality public services. Exchange of information is a pivotal part in the development of a well-functioning and effective Union framework to fight against such harmful practices.

(2a)

In order to ensure the proper implementation of this Directive, Member States should communicate to the Commission, on an annual basis, relevant information about obstacles encountered. Furthermore, the exchange of national best practices among tax authorities should also be encouraged.

(2b)

The European Parliament has called for a more ambitious approach on the system and infrastructure of exchange of information in the field of taxation, notably through its several opinions on the revisions of the Directive on Administrative Cooperation (DAC) and an Implementation Report.

(2c)

Given the free movement of capital, national stand-alone approaches do not provide efficient answers to tax abuse. The implementation of Union-wide policies and, whenever possible, international agreements remains, therefore, a crucial dimension in efforts to improve the fairness of tax systems.

(5)

The crypto-asset market has gained in importance and increased its capitalisation substantially and rapidly over the last 10 years. Crypto-assets are a digital representation of a value or of a right, which is able to be transferred and stored electronically, using distributed ledger technology or similar technology.

(5)

The crypto-asset market has gained in importance and increased its capitalisation substantially and rapidly over the last 10 years. Crypto-assets are a digital representation of a value or of a right, which is able to be transferred and stored electronically, using distributed ledger technology or similar technology. Due to their opaque and volatile nature, crypto-assets could be used for illicit purposes. Tracking the transfers of crypto-assets is of high importance.

(6)

Member States have rules and guidance in place, albeit different across Member States, to tax income derived from crypto-asset transactions. However, the decentralised nature of crypto-assets makes it difficult for Member States’ tax administrations to ensure tax compliance .

(6)

Member States have rules and guidance in place, albeit different across Member States, to tax income derived from crypto-asset transactions. However, some Member States have designed tax benefits specifically targeted to attract crypto-assets which could lead to harmful tax practices and losses of tax revenues .

(7)

Regulation XXX on Markets in Crypto-assets of the European Parliament and the Council 26 (the Regulation XXX ) has expanded the Union regulatory perimeter to issues of crypto-assets that had so far not been regulated by Union financial services acts as well as providers of services in relation to such crypto-assets (‘crypto-asset service providers’). The Regulation XXX sets out definitions that are used for the purposes of this Directive. This Directive also takes into account the authorisation requirement for crypto-asset service providers under Regulation XXX in order to minimise administrative burden for the crypto-asset service providers. The inherent cross-border nature of crypto-assets requires strong international administrative cooperation to ensure effective regulation.

(7)

Regulation (EU) 2023/1114 of the European Parliament and of the Council (1a) has expanded the Union regulatory perimeter to issues of crypto-assets that had so far not been regulated by Union financial services acts as well as providers of services in relation to such crypto-assets (‘crypto-asset service providers’). That Regulation sets out definitions that are used for the purposes of this Directive. This Directive also takes into account the authorisation requirement for crypto-asset service providers under that Regulation in order to minimise administrative burden for the crypto-asset service providers. The inherent cross-border nature of crypto-assets requires strong international administrative cooperation to ensure effective regulation. It is essential to guarantee systematic coherence in the Union legal acts regarding the regulation of crypto assets. To that end, Regulation (EU) 2023/1113 of the European Parliament and of the Council  (1b) is also considered in this DAC revision. However, this Directive also recognises, that for an effective exchange of information a broader coverage is needed.

(8)

The Union’s Anti-Money Laundering/Countering the Financing of Terrorism framework (AML/CFT) extends the scope of obliged entities subject to AML/CFT rules, to crypto-asset service providers regulated by Regulation XXX . In addition, the Regulation XXX27 extends the obligation of payment service providers to accompany transfers of funds with information on the payer and payee to crypto-assets services providers to ensure the traceability of transfers of crypto-assets for purpose of fighting against money laundering and terrorism financing.

(8)

The Union’s Anti-Money Laundering/Countering the Financing of Terrorism framework (AML/CFT) extends the scope of obliged entities subject to AML/CFT rules, to crypto-asset service providers regulated by Regulation (EU) 2023/1114 . In addition, Regulation (EU) 2023/1113 extends the obligation of payment service providers to accompany transfers of funds with information on the payer and payee to crypto-assets services providers to ensure the traceability of transfers of crypto-assets for purpose of fighting against money laundering and terrorism financing.

(9)

At international level, the Organisation for Economic Co-operation and Development (OECD) Crypto-Asset Reporting Framework (28) aims at introducing greater tax transparency on crypto-assets and its reporting. Union rules should take into account the framework developed by the OECD in order to increase effectiveness of information exchange and to reduce the administrative burden.

(9)

At international level, the Organisation for Economic Co-operation and Development (OECD) Crypto-Asset Reporting Framework (28) aims at introducing greater tax transparency on crypto-assets and its reporting. Union rules should take into account the framework developed by the OECD in order to increase effectiveness of information exchange and to reduce the administrative burden. Member States should use the Commentaries on the Model Competent Authority Agreement and the Crypto-Asset Reporting Framework, developed by the OECD, in order to ensure consistent implementation and application of this Directive.

(14)

The Directive applies to crypto-assets service providers regulated by and authorised under Regulation XXX and to crypto-asset operators that are not. Both are referred to as reporting crypto-asset service providers as they are required to report under this Directive. The general understanding of what constitutes crypto-assets is very broad and includes those crypto-assets that have been issued in a decentralised manner, as well as stablecoins, and certain non-fungible tokens (NFTs). Crypto-assets that are used for payment or investment purposes are reportable under this Directive. Therefore, reporting crypto-asset service providers should consider on a case-by-case basis whether crypto-assets can be used for payment and investment purposes, taking into account the exemptions provided in Regulation XXX, in particular in relation to a limited network and certain utility tokens.

(14)

The Directive applies to crypto-assets service providers regulated by and authorised under Regulation (EU) 2023/1114 and to crypto-asset operators that are not. Both are referred to as reporting crypto-asset service providers as they are required to report under this Directive. The general understanding of what constitutes crypto-assets is very broad and includes those crypto-assets that have been issued in a decentralised manner, as well as stablecoins, including e-money tokens, as defined in Regulation (EU) 2023/1114, and certain non-fungible tokens (NFTs). Crypto-assets that are used for payment or investment purposes are reportable under this Directive.

(17)

Crypto-asset service providers covered by Regulation XXX may exercise their activity in the Union through passporting once they have received their authorisation in a Member State. For these purposes, ESMA holds a register with authorised crypto-asset service providers. Additionally, ESMA also maintains a blacklist of operators exercising crypto-asset services that require an authorisation under Regulation XXX .

(17)

Crypto-asset service providers covered by Regulation (EU) 2023/1114 may exercise their activity in the Union through passporting once they have received their authorisation in a Member State. For these purposes, ESMA holds a register with authorised crypto-asset service providers. Additionally, ESMA also maintains a blacklist of operators exercising crypto-asset services that require an authorisation under that Regulation.

(19)

In order to foster administrative cooperation in this field with non-Union jurisdictions, crypto-asset operators that are situated in non-Union jurisdictions and provide services to EU crypto-asset users, such as NFT service-providers or operators providing services on a reverse-solicitation basis, should be allowed to solely report information on crypto-asset users resident in the Union to the tax authorities of a non-Union jurisdiction insofar as the reported information is correspondent to the information set out in this Directive and insofar as there is an effective exchange of information between the non-Union jurisdiction and a Member State. Crypto-asset service providers authorised under Regulation XXX could be exempt from reporting such information in the Member States where it is holding the authorisation if the correspondent reporting takes place in a non-Union Jurisdiction and insofar as there is an effective qualifying competent authority agreement in place. The qualified non-Union jurisdiction would in turn communicate such information to the tax administrations of those Member States where crypto-asset users are resident. Where appropriate, that mechanism should be enabled to prevent correspondent information from being reported and transmitted more than once.

(19)

In order to foster administrative cooperation in this field with non-Union jurisdictions, crypto-asset operators that are situated in non-Union jurisdictions and provide services to EU crypto-asset users, such as NFT service-providers or operators providing services on a reverse-solicitation basis, should be allowed to solely report information on crypto-asset users resident in the Union to the tax authorities of a non-Union jurisdiction insofar as the reported information is correspondent to the information set out in this Directive and insofar as there is an effective exchange of information between the non-Union jurisdiction and a Member State. Crypto-asset service providers authorised under Regulation (EU) 2023/1114 could be exempt from reporting such information in the Member States where it is holding the authorisation if the correspondent reporting takes place in a non-Union Jurisdiction and insofar as there is an effective qualifying competent authority agreement in place. The qualified non-Union jurisdiction would in turn communicate such information to the tax administrations of those Member States where crypto-asset users are resident. Where appropriate, that mechanism should be enabled to prevent correspondent information from being reported and transmitted more than once.

(23)

This Directive does not substitute any wider obligations arising from Regulation XXX .

(23)

This Directive does not substitute any wider obligations arising from Regulation (EU) 2023/1114 or from Regulation (EU) 2023/1113 .

(24)

In order to foster convergence and promote consistent supervision with regard to Regulation XXX , national competent authorities should cooperate with other national competent authorities or institutions and share relevant information.

(24)

In order to foster convergence and promote consistent supervision with regard to Regulation (EU) 2023/1114 , national competent authorities should cooperate with other national competent authorities or institutions and share relevant information , in an effective and loyal way .

(26)

It is crucial to reinforce the provisions of Directive 2011/16/EU concerning the information to be reported or exchanged to adapt to new developments of different markets and consequently effectively tackle identified conducts for tax fraud, tax avoidance and tax evasion. Those provisions should reflect the developments observed in the internal market and at international level leading to an effective reporting and exchange of information. Consequently, the Directive includes among others the latest additions to the Common Reporting Standard of the OECD, the integration of e-money and central bank digital currency provisions, a clear and harmonised framework for compliance measures, and the extension of the scope of cross-border rulings to high net worth individuals.

(26)

It is crucial to reinforce the provisions of Directive 2011/16/EU concerning the information to be reported or exchanged to adapt to new developments of different markets and consequently effectively tackle identified conducts for tax fraud, tax avoidance and tax evasion. Those provisions should reflect the developments observed in the internal market and at international level leading to an effective reporting and exchange of information. Consequently, the Directive includes among others the latest additions to the Common Reporting Standard of the OECD, the integration of e-money and central bank digital currency provisions, a clear and harmonised framework for compliance measures, and the extension of the scope of cross-border rulings to high net worth individuals. Member States should use the Commentaries on the Model Competent Authority Agreement and the Common Reporting Standard, developed by the OECD, in order to ensure consistent implementation and application of this Directive.

(26a)

While several countries, including many Member States, are releasing anonymised and aggregated information per country — extracted from the country-by-country reports required under Council Directive (EU) 2016/881 or Action 13 from the BEPS Action Plan, it is regrettable that some Member States are not publishing this information in international databases. An assessment of the publishing practice on anonymised and aggregated information per country and assessing the usefulness of a harmonised approach should be object of the next revision of the DAC.

(27)

E-money products, as defined by Directive 2009/110/EU of the European Parliament and of the Council (31) are frequently used in the Union and the volume of transactions, and their combined value increases steadily. E-money products are however not explicitly covered by Directive 2011/16/EU. Member States adopt diverse approaches to e-money. As a result, related products are not always covered by the existing categories of income and capital of Directive 2011/16/EU. Rules should therefore be introduced ensuring that reporting obligations apply to e-money and e-money tokens under Regulation XXX .

(27)

E-money products, as defined by Directive 2009/110/EU of the European Parliament and of the Council (31) are frequently used in the Union and the volume of transactions, and their combined value increases steadily. E-money products are however not explicitly covered by Directive 2011/16/EU. Member States adopt diverse approaches to e-money. As a result, related products are not always covered by the existing categories of income and capital of Directive 2011/16/EU. Rules should therefore be introduced ensuring that reporting obligations apply to e-money and e-money tokens under Regulation (EU) 2023/1114 .

(28)

In order to close loopholes that allow tax evasion, tax avoidance and tax fraud, Member States should be required to exchange information related to income derived from non-custodial dividends . Income from non-custodial dividends should therefore be included in the categories of income subject to mandatory automatic exchange of information.

(28)

In order to close loopholes that allow tax evasion, tax avoidance and tax fraud, Member States should be required to exchange information related to income derived from non-custodial dividends and capital gains from immovable property. The mandatory automatic exchange of information is deemed complied with if such information can be consulted through national or interconnected registries by competent authorities .

(28a)

Some types of income and assets are still excluded from the scope of automatic exchange of information, which presents a risk of circumventing tax obligations. The Commission should assess the need and the most appropriate way, and to present concrete proposals, to include the following ownership information, items of income and (non)-financial assets in the automatic exchange of information: the beneficial owners of immovable property and companies; financial assets; non-financial assets such as cash, art, gold or other valuables held at free ports, customs warehouses or safe deposit boxes; ownership of yachts and private jets; and accounts at larger peer-to-peer lending, crowdfunding and similar platforms.

(29)

The Tax Identification Number (‘TIN’) is essential for Member States to match information received with data present in national databases. It increases Member States’ capability of identifying the relevant taxpayers and correctly assessing the related taxes. Therefore, it is important that Member States require that TIN is indicated in the context of exchanges related to financial accounts, advance cross-border rulings and advance pricing agreements, country-by-country reports, reportable cross-border arrangements, and information on sellers on digital platforms.

(29)

The Tax Identification Number (‘TIN’) is essential for Member States to match information received with data present in national databases. It increases Member States’ capability of identifying the relevant taxpayers and correctly assessing the related taxes. Therefore, it is important that Member States require that TIN is indicated in the context of exchanges related to financial accounts, advance cross-border rulings and advance pricing agreements, country-by-country reports, reportable cross-border arrangements, and information on sellers on digital platforms and crypto-assets . However, when the TIN is not available, such an obligation may not be fulfilled by the competent authorities of Member States.

(29a)

A European TIN would allow any authority to quickly, easily and correctly identify and record TINs in cross-border relations and serve as a basis for effective automatic exchange of information between Member States’ tax administrations. Therefore, the Commission should re-examine the creation of a European TIN, including its added value and potential impact.

(33)

It is important that, as a matter of principle, the information communicated under Directive 2011/16/EU is used for the assessment, administration and enforcement of taxes which are covered by the material scope of that Directive. While this was not precluded so far, uncertainties regarding the use of information have arisen due to unclear framework. Given the interlinks between tax fraud, evasion and avoidance and anti-money laundering and the synergies in terms of enforcement, it is appropriate to clarify that information communicated between Member States may also be used for the assessment, administration and enforcement customs duties and anti-money laundering and combating the financing of terrorism.

(33)

It is important that, as a matter of principle, the information communicated under Directive 2011/16/EU is used for the assessment, administration and enforcement of taxes which are covered by the material scope of that Directive. While this was not precluded so far, uncertainties regarding the use of information have arisen due to unclear framework. Given the interlinks between tax fraud, evasion and avoidance and anti-money laundering and the synergies in terms of enforcement, it is appropriate to clarify that information communicated between Member States may also be used for the assessment, administration and enforcement customs duties and anti-money laundering and combating the financing of terrorism. However, the provisions in this Directive should not double or materially overlap with the provisions in the Union's anti-money-laundering framework.

(34)

Directive 2011/16/EU provides for the possibility to use the information exchanged for other purposes than for direct and indirect tax purposes to the extent that the sending Member State has stated the purpose allowed for the use of such information in a list. However, the procedure for such use is cumbersome as the sending Member State need to be consulted before the receiving Member State can use the information for other purposes. Removing the requirement for such consultation should alleviate the administrative burden and allow swift action from tax authorities when needed. It should therefore not be required to consult the sending Member State where the intended use of information is covered in a list drafted beforehand by the sending Member State.

(34)

Directive 2011/16/EU provides for the possibility to use the information exchanged for other purposes than for direct and indirect tax purposes to the extent that the sending Member State has stated the purpose allowed for the use of such information in a list. However, the procedure for such use is cumbersome as the sending Member State need to be consulted before the receiving Member State can use the information for other purposes. Removing the requirement for such consultation should alleviate the administrative burden and allow swift action from tax authorities when needed. It should therefore not be required to consult the sending Member State where the intended use of information is covered in a list drafted beforehand by the sending Member State. Such list can include the use of information of non-tax related data by local authorities in the framework of thresholds and limitations attached to the delivery of certain services such as services provided via an online platform in particular.

(35a)

Information acquired through the reporting or the exchange of information under Directive 2011/16/EU should be effectively used by each Member State. Therefore, a mechanism ensuring effective use, including risk analysis of the data, should be introduced in each Member State.

(36)

In order to enhance the efficient use of resources, facilitate the exchange of information and avoid the need for each Member States to make similar changes to their systems for storing information, a central directory should be established, accessible to all Member States and only for statistical purposes to the Commission, to which Member States would upload and store reported information, instead of exchanging that information by secured email. The practical arrangements necessary for the establishment of such central directory should be adopted by the Commission.

(36)

In order to enhance the efficient use of resources, facilitate the exchange of information and avoid the need for each Member States to make similar changes to their systems for storing information, a central directory should be established, accessible to all Member States and only for statistical purposes to the Commission, to which Member States would upload and store reported information, instead of exchanging that information by secured email. That effort should also enhance the exchange of best practices on how to implement digital tools in tax administrations to reduce compliance costs and bureaucracy, while improving effectiveness and efficiency, and taking into account the need to qualify human resources. The practical arrangements necessary for the establishment of such central directory should be adopted by the Commission.

(36a)

The Commission is entitled to produce reports and documents, using the information exchanged in an anonymised manner, so as to take into account the taxpayers’ rights to confidentiality and in compliance with Regulation (EC) No 1049/2001 regarding public access to European Parliament, Council and Commission documents. The publication of anonymised and aggregated country-by-country report statistics, including on effective tax rates, on an annual basis for all Member States contributes to improve the quality of public debates on taxation affairs.

(39)

In order to ensure compliance with the Directive 2011/16/EU , Member States should lay down the rules on penalties and other compliance measures that should be effective, proportionate and dissuasive. Each Member State should apply those rules in accordance with their national laws and the provisions set forth in this Directive.

(39)

In order to ensure a proper enforcement of the rules under this Directive, Member States should lay down the rules on penalties , applicable to infringements of national provisions on mandatory exchange of information reported by crypto-asset service providers, that should be effective, proportionate and dissuasive. When doing so, Member States should ensure that they correctly identify the party at fault for each infringement. Member States should introduce a temporary penalty reduction regime for at least three years for SMEs regarding Article 8ad.

(40)

To guarantee an adequate level of effectiveness in all Member States, minimum levels of penalties should be established in relation to two conducts that are considered grievous: namely failure to report after two administrative reminders and when the provided information contains incomplete, incorrect or false data, which substantially affects the integrity and reliability of the reported information. Incomplete, incorrect or false data substantially affect the integrity and reliability of the reported information when they amount to more than 25 % of the total data that the taxpayer or reporting entity should have correctly reported in accordance with the required information set forth in Annex VI, Section II, subparagraph (B) . These minimum amounts of penalties should not prevent Member States from applying more stringent sanctions for these two types of infringements. Member States still have to apply effective, dissuasive and proportional penalties for other types of infringements.

(40)

To guarantee an adequate level of effectiveness in all Member States while implementing Council Directive 2014/107/EU and Council Directive (EU) 2016/881 most particularly , minimum levels of penalties should be established in relation to two conducts that are considered grievous: namely failure to report after two administrative reminders and when the provided information contains incomplete, incorrect or false data, which substantially affects the integrity and reliability of the reported information. Incomplete, incorrect or false data substantially affect the integrity and reliability of the reported information when they amount to more than 25 % of the total data that the taxpayer or reporting entity should have correctly reported in accordance with the required information set forth in the Annexes . These minimum amounts of penalties should not prevent Member States from applying more stringent penalties for these two types of infringements. Member States still have to apply effective, dissuasive and proportional penalties for other types of infringements.

(42a)

Following the judgment of the Court of Justice of the European Union in Case C-694/20, Directive 2011/16/EU should be amended in such a manner that its provisions do not have the effect of requiring lawyers acting as intermediaries, where they are exempt from the reporting obligation on account of the legal professional privilege by which they are bound, to notify any other intermediaries who are not their clients of those intermediaries’s reporting obligations while preserving the obligation of intermediaries to notify without delay their clients of their reporting obligations.

(44a)

(44b)

The successive revisions of the Union legislative framework on exchange of information should be reflected in the agreements with third countries. Therefore, where there is a signed agreement, reviews should be envisaged.

(a)

for the purposes of Article 8(1) and Articles 8a to 8ad, the systematic communication of predefined information to another Member State, without prior request, at pre-established regular intervals. For the purposes of Article 8(1), reference to available information relates to information in the tax files of the Member State communicating the information, which is retrievable in accordance with the procedures for gathering and processing information in that Member State;

(a)

for the purposes of Article 8(1) and Articles 8a to 8ad, the systematic communication of predefined and new information to another Member State, without prior request, at pre-established regular intervals. For the purposes of Article 8(1), reference to available information relates to information in the tax files of the Member State communicating the information, which is retrievable in accordance with the procedures for gathering and processing information in that Member State;

(aa)

point (14) is amended as follows:

14.

‘advance cross-border ruling’ means any agreement, communication, or any other instrument or action with similar effects, including one issued, amended or renewed in the context of a tax audit, and which meets the following conditions:

‘14.

“advance ruling” means any agreement, communication, or any other instrument or action with similar effects, including one issued, amended or renewed in the context of a tax audit, and , irrespective of its formal, informal, legally binding or non-binding nature, which meets the following conditions:

(a)

is issued, amended or renewed by, or on behalf of, the government or the tax authority of a Member State, or the Member State’s territorial or administrative subdivisions, including local authorities, irrespective of whether it is effectively used;

(a)

is issued, amended or renewed by, or on behalf of, the government or the tax authority of a Member State, or the Member State’s territorial or administrative subdivisions, including local authorities, irrespective of whether it is effectively used;

(b)

is issued, amended or renewed, to a particular person or a group of persons, and upon which that person or a group of persons is entitled to rely;

(b)

is issued, amended or renewed, to a particular person or a group of persons, and upon which that person or a group of persons is entitled to rely;

(c)

concerns the interpretation or application of a legal or administrative provision concerning the administration or enforcement of national laws relating to taxes of the Member State, or the Member State’s territorial or administrative subdivisions, including local authorities;

(c)

concerns the interpretation or application of a legal or administrative provision concerning the administration or enforcement of national laws relating to taxes of the Member State, or the Member State’s territorial or administrative subdivisions, including local authorities;

(d)

relates to a cross-border transaction or to the question of whether or not activities carried on by a person in another jurisdiction create a permanent establishment; and

(e)

is made in advance of the transactions or of the activities in another jurisdiction potentially creating a permanent establishment or in advance of the filing of a tax return covering the period in which the transaction or series of transactions or activities took place. The cross-border transaction may involve, but is not restricted to, the making of investments, the provision of goods, services, finance or the use of tangible or intangible assets and does not have to directly involve the person receiving the advance cross-border ruling;

(e)

is made in advance of the transactions or of the activities in another jurisdiction potentially creating a permanent establishment or in advance of the filing of a tax return covering the period in which the transaction or series of transactions or activities took place. The transaction may involve, but is not restricted to, the making of investments, the provision of goods, services, finance or the use of tangible or intangible assets and does not have to directly involve the person receiving the advance ruling;’

(ab)

point (16) is deleted.

33.

‘home Member State’ means home Member State as defined in Regulation XXX.

33.

‘home Member State’ means home Member State as defined in Article 3(1), point (33), of Regulation (EU) 2023/1114.

34.

‘distributed ledger address’ means distributed ledger address as defined in Regulation XXX.

34.

‘distributed ledger address’ means distributed ledger address as defined in Article 3(1), point (18), of Regulation (EU) 2023/1113.

34a.

34b.

34c.

(1a)

in Article 7 , the following paragraph is inserted:

(e)

ownership of and income from immovable property;

(e)

ownership, income and capital gains from immovable property;

(ba)

In paragraph 2, the following subparagraph is added:

(bb)

paragraph 3 is replaced by the following:

(bc)

in paragraph 3a, second subparagraph, point a is replaced by the following:

(a)

the name, address, TIN(s) and date and place of birth (in the case of an individual) of each Reportable Person that is an Account Holder of the account and, in the case of any Entity that is an Account Holder and that, after application of due diligence rules consistent with the Annexes, is identified as having one or more Controlling Persons that is a Reportable Person, the name, address, and TIN(s) of the Entity and the name, address, TIN(s) and date and place of birth of each Reportable Person;

‘(a)

the name, address, TIN(s) and date and place of birth (in the case of an individual) of each Reportable Person that is an Account Holder of the account and, in the case of any Entity that is the ultimate beneficial Account Holder and that, after application of due diligence rules consistent with the Annexes, is identified as having one or more Controlling Persons that is a Reportable Person, the name, address, and TIN(s) of the Entity and the name, address, TIN(s) and date and place of birth of each Reportable Person;’

(-a)

(iia)

the fourth subparagraph is deleted.

(ba)

in paragraph 3, the following subparagraph is added:

(ia)

point b is replaced by the following:

(b)

a summary of the advance cross-border ruling or advance pricing arrangement, including a description of the relevant business activities or transactions or series of transactions and any other information that could assist the competent authority in assessing a potential tax risk, without leading to the disclosure of a commercial, industrial or professional secret or of a commercial process, or of information whose disclosure would be contrary to public policy;

‘(b)

a summary of the advance ruling or advance pricing arrangement, including a description of the relevant business activities or transactions or series of transactions , all relevant direct and indirect tax implications such as the effective tax rates, and any other information that could assist the competent authority in assessing a potential tax risk, but omitting information that could lead to the disclosure of a commercial, industrial or professional secret or of a commercial process, or of information whose disclosure would be contrary to public policy;’

(3a)

(3b)

(c)

a summary of the content of the reportable cross-border arrangement, including a reference to the name by which it is commonly known, if any, and a description of the relevant arrangements and any other information that could assist the competent authority in assessing a potential tax risk , without leading to the disclosure of a commercial, industrial or professional secret or of a commercial process, or of information whose disclosure would be contrary to public policy;

(c)

a summary of the content of the reportable arrangement, including a reference to the name by which it is commonly known, if any, and a description of the relevant arrangements , the expected impact on the effective tax rate of the tax payer in the requested Member State and any other information that could assist the competent authority in assessing a potential tax risk, but omitting information that could lead to the disclosure of a commercial, industrial or professional secret or of a commercial process, or of information disclosure of which would be contrary to public policy;

(4a)

(i)

the aggregate fair market value, as well as the number of units value of Transfers effectuated by the Reporting Crypto-Asset Service Provider to distributed ledger addresses as defined in Regulation XXX not known to be associated with a virtual asset service provider or financial institution.

(i)

the aggregate fair market value, as well as the number of units value of Transfers effectuated by the Reporting Crypto-Asset Service Provider to distributed ledger addresses as defined in Article 3(1), point (18), of Regulation (EU) 2023/1113.

(6a)

(6b)

(6c)

(a)

paragraph 1 is replaced by the following:

(b)

the following paragraph is inserted:

(a)

the requested joint audit would involve carrying out enquiries or communicating information in breach of the legislation of the requested Member State;

(b)

the requesting authority is unable, for legal reasons, to communicate information similar to what the requested Member State would be expected to provide during the joint audit.

(7a)

(9a)

(11a)

(a)

paragraph 1 is replaced by the following:

(b)

paragraph 2 is replaced by the following

(c)

authority to exercise control within the legal person.

(c)

in case of non-compliance with national provisions adopted in order to comply with Article 8ab, the minimum pecuniary penalty shall be not less than EUR 50 000 when the annual turnover of the intermediary or relevant taxpayer is below EUR 6 million and EUR 150 000 when the turnover is EUR 6 million or above; the minimum pecuniary penalty shall be not less than EUR 20 000 when the intermediary or the relevant taxpayer is a natural person;

(d)

in case of non-compliance with national provisions adopted in order to comply with Article 8ac, the minimum pecuniary penalty shall be not less than EUR 50 000 when the annual turnover of the Reporting Platform Operator is below EUR 6 million and EUR 150 000 when the turnover is EUR 6 million or above, the minimum pecuniary penalty shall be not less than EUR 20 000 when the Reporting Platform Operator is a natural person;

(e)

in case of non-compliance with national provisions adopted in order to comply with Article 8ad, the minimum pecuniary penalty shall be not less than EUR 50 000 when the annual turnover of the Reporting Crypto-Asset Service Provider is below EUR 6 million and EUR 150 000 when the turnover is EUR 6 million or above, the minimum pecuniary penalty shall be not less than EUR 20 000 when the Reporting Crypto-Asset Service Provider is a natural person.

(13a)

(14a)

(15a)

(a)

the categories of income laid down in Article 8(1) be extended to financial assets including currency-trading and non-financial assets such as real estate, art or jewellery and new forms to store wealth such as free ports and safe deposit boxes including the ultimate beneficial ownership data and capital against;

(b)

the lists of items laid down in Article 8(3a) be extended to include the ultimate beneficial ownership data and to tackle circumvention through second or multiple tax residencies.’

(c)

whether the account is a joint account, including the number of joint Account Holders.

(c)

whether the account is a joint account, including the number of joint Account Holders and the share of each Account Holder .

(iia)

the following subparagraph is added:

(ca)

the following paragraph is added:

(1a)

(a)

point A is deleted;

(b)

point B is replaced by the following:

B.

Entity Accounts Subject to Review. A Pre-existing Entity Account that has an aggregate account balance or value that exceeds, as of 31 December 2015, an amount denominated in the domestic currency of each Member State that corresponds to USD 250 000 , and a Pre-existing Entity Account that does not exceed, as of 31 December 2015, that amount but the aggregate account balance or value of which exceeds such amount as of the last day of any subsequent calendar year, must be reviewed in accordance with the procedures set forth in paragraph D.

(b)

the gross income of which is primarily attributable to investing, reinvesting, or trading in Financial Assets or Reportable Crypto-Assets, if the Entity is managed by another Entity that is a Depository Institution, a Custodial Institution, a Specified Insurance Company , Specified Insurance Company or an Investment Entity described in subparagraph A(6), point (a).

(b)

the gross income of which is primarily attributable to investing, reinvesting, or trading in Financial Assets or Reportable Crypto-Assets, if the Entity is managed by another Entity that is a Depository Institution, a Custodial Institution, a Specified Insurance Company or an Investment Entity described in subparagraph A(6), point (a).

10.

The term ‘Electronic Money Token’ or ‘E-money Token’ means Electronic Money Token or E-money Token as defined in Regulation XXX.

10.

The term ‘Electronic Money Token’ or ‘E-money Token’ means Electronic Money Token or E-money Token as defined in Article 3(1), point (7), of Regulation (EU) 2023/1114.

13.

The term ‘Crypto-Asset’ means Crypto-Asset as defined in Regulation XXX.

13.

The term ‘Crypto-Asset’ means Crypto-Asset as defined in Article 3(1), point (5), of Regulation (EU) 2023/1114.

1.

an Entity authorised under Regulation XX;

1.

an Entity authorised under Regulation (EU) 2023/1114.

Ba.

C.

The information listed in paragraph 3 shall be reported by 31 January of the calendar year following the year to which the information relates. The first information shall be reported for the relevant calendar year or other appropriate reporting period as from 1 January 2026.

C.

The information listed in paragraph 3 shall be reported by 31 July of the calendar year following the year to which the information relates. The first information shall be reported for the relevant calendar year or other appropriate reporting period as from 1 January 2026.

1.

‘Crypto-Asset’ means Crypto-Asset as defined in Regulation XXX.

1.

‘Crypto-Asset’ means Crypto-Asset as defined in Article 3(1), point (5), of Regulation (EU) 2023/1114.

5.

‘Electronic Money’ or ‘E-money’ means Electronic Money or E-money as is defined in Directive 2009/110/EC. For the purposes of this Directive , the term ‘Electronic money’ or ‘E-money’ does not include a product created for the sole purpose of facilitating the transfer of funds from a customer to another person pursuant to instructions of the customer. A product is not created for the sole purpose of facilitating the transfer of funds if, in the ordinary course of business of the transferring Entity, either the funds connected with such product are held longer than 60 days after receipt of instructions to facilitate the transfer, or, if no instructions are received, the funds connected with such product are held longer than 60 days after receipt of the funds.

5.

For the purposes of this Directive, ‘Electronic Money’ or ‘E-money’ means any Crypto-Asset that is: (a) a digital representation of a single Fiat Currency; (b) issued on the receipt of funds for the purpose of making payment transactions; (c) represented by a claim on the issuer denominated in the same Fiat Currency; (d) accepted in payment by a natural or legal person other than the issuer; and (e) by virtue of regulatory requirements to which the issuer is subject , redeemable at any time and at par value for the same Fiat Currency upon request of the holder of the product. The term ‘Electronic money’ or ‘E-money’ does not include a product created for the sole purpose of facilitating the transfer of funds from a customer to another person pursuant to instructions of the customer. A product is not created for the sole purpose of facilitating the transfer of funds if, in the ordinary course of business of the transferring Entity, either the funds connected with such product are held longer than 60 days after receipt of instructions to facilitate the transfer, or, if no instructions are received, the funds connected with such product are held longer than 60 days after receipt of the funds.

6.

‘Electronic Money Token’ or ‘E-money Token’ means Electronic Money Token or E-money Token as defined in Regulation XXX.

6.

‘Electronic Money Token’ or ‘E-money Token’ means Electronic Money Token or E-money Token as defined in Article 3(1), point (7), of Regulation (EU) 2023/1114.

7.

‘Distributed Ledger Technology (DLT)’ means Distributed Ledger Technology or DLT as defined in Regulation XXX.

7.

‘Distributed Ledger Technology (DLT)’ means Distributed Ledger Technology or DLT as defined in Article 3(1), point (1), of Regulation (EU) 2023/1114.

1.

‘Crypto-Asset Service Provider’ means Crypto-Asset Service Provider as defined in Regulation XXX.

1.

‘Crypto-Asset Service Provider’ means Crypto-Asset Service Provider as defined in Article 3(1), point (15), of Regulation (EU) 2023/1114.

4.

‘Crypto-Asset Services’ means Crypto-Asset Services as defined in Regulation XXX including staking and lending.

4.

‘Crypto-Asset Services’ means Crypto-Asset Services as defined in Article 3(1), point (16), of Regulation (EU) 2023/1114.

4.

‘Reportable Retail Payment Transaction’ means a Transfer of Reportable Crypto-Assets in consideration of goods or services for a value exceeding EUR 50 000 .

4.

‘Reportable Retail Payment Transaction’ means a Transfer of Reportable Crypto-Assets in consideration of goods or services for a value exceeding USD 50 000 (or the equivalent amount in any other currency) .

2.

Where a Crypto-Asset User does not provide the information required under Section III after two reminders following the initial request by the Reporting Crypto-Asset Service Provider, but not prior to the expiration of 60 days, the Reporting Crypto-Asset Service Providers shall prevent the Crypto-Asset User from performing Exchange Transactions.

2.

Where a Crypto-Asset User does not provide the information required under Section III after two reminders following the initial request by the Reporting Crypto-Asset Service Provider, but not prior to the expiration of 60 days, the Reporting Crypto-Asset Service Providers shall prevent the Crypto-Asset User from performing Exchange Transactions ; such limitation shall be immediately lifted after the information required is provided by the Crypto-Asset User .