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Juho Ranta-Ylitalo
COMPLIANT WITH DAC7 DIRECTIVE

REPORTING OBLIGATION
Information about the sharing and gig economy can
be obtained from personal income taxation
Faculty of Management and Economics

Master's thesis
August 2022
SUMMARY
Juho Ranta-Ylitalo: Reporting obligation according to the DAC7 directive - information from the sharing and gig economy in personal
income taxation
Master's thesis
University of Tampere
Degree program in business sciences, tax law
August 2022
The platform economy, i.e. the exchange of goods and services via digital platforms, is becoming more common with technological
development. The non-declaration of income received in the platform economy, combined with the lack of effective tax control
measures, has led to concerns about the growth of the tax deficit in the European Union. The solution to this problem is sought with
the amending directive 2021/514/EU (DAC7) of the official assistance directive 2011/16/EU (DAC), which imposes an obligation on
platform economy operators to report to the tax authority information on income generated through platforms. The sharing and gig
economy are part of the platform economy as a whole, and the challenge of not reporting the income generated through them has also
been recognized in Finland.
The subject of the research is the connection between the Tax Administration's need for information, an efficient taxation procedure,
and material tax issues related to the sharing and gig economy. The goal is to find out how the reporting obligation set for platform
economy operators according to DAC7 meets the Tax Administration's need for information on the income received by natural persons
in the sharing and gig economy. In addition, the study evaluates the usability of the information covered by the reporting in the taxation
procedure based on the pre-filled tax return of a natural person. Along with the mentioned goals, the fiscal issues arising at the
interface of light entrepreneurship and the phenomena of the sharing and gig economy are assessed. The study was commissioned
by the Tax Administration
raise
The research seeks answers to the following research questions: 1) What are the Tax Administration's information needs about
income generated in the sharing and gig economy in personal income taxation? 2) What is the legal content of the new article 8 ac of
the official assistance directive 2011/16/EU amended by directive 2021/514/EU regarding the sharing and gig economy reporting
obligation? 3) How consistent is the reporting obligation of the new Article 8 ac of the Official Assistance Directive 2011/16/EU with the
need for information presented in the first research question, and under what conditions can the information covered by the directive's
reporting obligation be used in a taxation procedure based on a pre-filled tax return?
The second and third research questions are answered using the legal dogmatic method. In addition to this, the first research question
is answered by utilizing empirical data and content analysis applied to its processing, i.e. using qualitative research methodology. The
qualitative material consists of two expert interviews. The interviews support the other background material of the study and enable
the formation of a complete picture of women, on the one hand, regarding the Tax Administration's need for information regarding
sharing and gig economy income, and on the other hand, the relationship between the phenomena of sharing and gig economy and
light entrepreneurship.
The results of the study show that the information obtained based on the reporting obligation is generally in accordance with the
information needs of the Tax Administration. The detail of the information obtained does not immediately enable the utilization of the
information in automatic decision-making in a procedure based on a pre-filled tax return. However, the information is useful in
combating the gray economy based on risk analysis and as a reference material for the tax audit
nasa.
Keywords: DAC7, platform economy, sharing economy, gig economy, Tax Administration
The originality of this publication has been checked with Turnit's OriginalityCheck program.
I
TABLE OF CONTENTS
SUMMARY................................................. ................................................ ................................................ ...I
TABLE OF CONTENTS................................................. ................................................ .....................................II
SOURCES................................................... ................................................ ................................................ ........IV
ABBREVIATIONS................................................... ................................................ ................................................XIX
PATTERNING................................................. ................................................ ................................................ ......... XX
TABLES................................................... ................................................ ................................................ .. XX
1 INTRODUCTION................................................. ................................................ .......................................... 1
1.1 The background of the research and the topicality of the research topic................................................ ........... 1
1.2 Key concepts and limitations of the study ............................................. ............................ 4
1.3 Research questions and methodology .............................................. ...................................... 8
1.3.1 Research problem and research questions ............................................. ........................ 8
1.3.2 Research question-specific method choices ............................................. ...................... 9
1.3.3 Description of methods............................................... ................................................ ............ 10
1.4 Research structure and key sources................................................. ............................... 12
2 DEVELOPMENT OF INTERNATIONAL TAX INFORMATION EXCHANGE............................................ ....... 14
2.1 Incentives for the exchange of information relevant for taxation .................................... 14
2.2 OECD as a developer of bilateral information exchange agreements ........................................... 16
2.2.1 Exchange of information as part of the OECD model tax agreement ......................................... ............ 16
2.2.2 Global Forum and TIEA agreements ......................................... ..................................... 17
2.3 Multilateral data exchange agreements ................................................. ................................ 18
2.3.1 Effectiveness as a prerequisite: early multilateral information exchange agreements .............. 18
2.3.2 CMAAT and MCAA............................................ ................................................ ......... 19
2.4 Development of information exchange in the European Union................................................... ......................... 20
3 CURRENT STATUS AND CHALLENGES OF INFORMATION ACCESS................................................. .......................... 22
3.1 The starting points of the need for information................................................... ................................................ ...... 22
3.1.1 The role of the tax administration and the principle of legality ........................................... ..................... 22
3.1.2 Obtaining information as a prerequisite for correct and timely taxation................... 23
3.2 Obligation to declare income................................................... .............................................. 26
3.3 Obligation of the third party to provide information................................................... ............................................. 28
3.3.1 Background and starting points............................................. ................................................ ...... 28
II
3.3.2 The third party's general obligation to provide information ............................................. ........................ 29
3.3.3 The third party's special obligation to provide information............................................. ...................... 34
3.3.4 Comparative data check............................................... ................................................ .... 36
3.4 The importance of automation in achieving the Tax Administration's efficiency goals................ 39
3.5 Information needs based on law preparation and interview material............................................ 44
3.5.1 Legislative preparation VM123:00/2019............................................ ...................................... 44
3.5.2 Interview 1: the sharing and gig economy reporting obligation ..................................... 48
3.5.3 Interview 2: the relationship between the sharing and gig economy and light entrepreneurship.......................... 51
4 CONTENT OF THE DIRECTIVE AND AVAILABILITY OF DATA............................................ ........... 56
4.1 The grounds for the reporting obligation set out in Directive 2021/514/EU.................................. 56
4.2 Reporting procedures ................................................... ................................................ .......... 57
4.2.1 Who reports................................................... ................................................ ................. 57
4.2.2 Who is reported on ............................................. ................................................ ..... 62
4.2.3 Information to be collected and reported on all relevant activities................................... 63
4.2.4 Exchange of data, effective implementation and purposes of data use.................. 68
4.3 Essential actions................................................... ................................................ ................... 70
4.3.1 On the delimitation of essential activities covered by the reporting obligation ................... 70
4.3.2 Leasing of immovable property............................................. ........................ 72
4.3.2.1 Information to be reported and the importance of improving access to information ................................ 72
4.3.2.2 Platform-mediated rental and taxation............................................ .......................... 73
4.3.2.3 Determining the deductibility of expenses incurred from the rental property 76
4.3.2.4 Deductible expenses of rental activities in the taxation procedure...................... 79
4.3.3 Personal service............................................... ................................................ 81
4.3.3.1 Information to be reported and description of the platform work.......................................... ..................... 81
4.3.3.2 Foundation work and taxation............................................ ................................................ .. 83
4.3.3.3 Deductible expenses related to platform work............................................ ......... 86
4.3.3.4 Light entrepreneurship and platform work ........................................... ........................................ 87
4.3.4 Sale of goods............................................... ................................................ ......... 90
4.3.4.1 Sale of goods in the sharing economy............................................ ........................ 90
4.3.4.2 Peer-to-peer trading and taxation............................................ ............................................. 91
4.3.4.3 Other points to be considered in income taxation of peer-to-peer trade................................ 94
4.3.5 Leasing a means of transport............................................ ............................. 95
4.3.5.1 Rental of means of transport in the sharing economy............................................ ........ 95
4.3.5.2 Platform-mediated rental and taxation of means of transport....................................... 96
5 CONCLUSIONS................................................... ................................................ ........................ 98
APPENDICES................................................... ................................................ ................................................ ...... 100
III
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LEGAL CASES
ECJ C-522/14, Spargesse Allgäu v. Finanzamt Kempten

KHO 1975 B II 513
KHO 1978 B II 564
KHO 2020:8
KHO 2015:99
KHO 2016:127
XVIII
ABBREVIATIONS
API Application Programming Interface

AVLValue Added Tax Act (1501/1993)
CCN Common Communication Format
CMAAT Convention on Mutual Administrative Assistance in Tax Matters
CRS Common Reporting Standard on
DAC administrative cooperation in the field of taxation and Directive 2011/16/EU repealing
Directive 77/799/EU on administrative cooperation
DAC7 in the field of taxation
2011/16/EU amending Directive 2021/514/EU
DESI Digital Economy and Society Index
DPI Digital Platform Information
UN advance collection regulation (1996/1124)
EPL Advance Collection Act (1118/1996)
EEC European Economic Community
European Union
European Union
EU Court of Justice of the European
EVL Union Act on Taxation of Business Income (360/1968)
FATCA Foreign Account Tax Compliance Act
HE board presentation
HL Administrative Act (434/2003)
IGA Intergovernmental Agreement
IlmVelvVHp Decision of the Tax Administration on reporting obligations and notes
KHO Supreme Administrative Court
MCAA Multilateral Competent Authority Agreement
MRDP Model Reporting Rules for Digital Platforms
OECD Organization for Economic Cooperation and Development
OEEC Organization for European Economic Co-operation
OK trial arc (4/1734)
P2P peer-2-peer
Pl Constitution of Finland (731/1999)
ROAD Tax Information Exchange Agreement
TiedVelvVHp The Tax Administration's decision on the general reporting obligation
TIN Tax Identification Number
TVL Income Tax Act (1535/1992)
VH Tax
VHA Administration Decree on Tax
VHL Administration (562/2010) Act on
WC Tax Administration
VML (503/2010) Ministry of Finance Act on Taxation Procedure (1558/1995)
XML Extensible Markup Language
XIX
PATTERNING
Figure 1: Relationships of phenomena. Platform economy and sharing economy……………………………….…… 6
Figure 2: Reporting platform operator…………………………………………………………...59
TABLES
Table 1: The size of the sharing economy in the European Union……………………...……………2
XX
1 INTRODUCTION
1.1 Background of the research and topicality of the research topic
"In recent years, more and more businesses are shifting from the pipeline structure to
the platform structure. In this shift, the simple pipeline arrangement is transformed into
a complex relationship in which producers, consumers, and the platform itself enter into
a variable set of relationships. ...value may be created, changed, exchanged, and con
summed up in a variety of ways and places, all made possible by the connections that the
"1
platform facilitates.
Digitization has enabled a development in which the ways of exchange become so diverse
balistically as well as locally. Sharing and gigging, which are part of the platform economy
the louden phenomenon makes it possible to buy real estate, goods, services and their combinations
buying, selling and renting via electronic platforms. An abundance of possibilities
appears as an expansion of the spectrum of earning models, when privately owned material shortages
working resources can be used for income generation activities and intellectual capital can be provided
I guarantee the exchange to the market in a flexible way for the parties2 . Everyday like this
e.g. different types of transactions realized through electronic platforms
services, trade in goods and short-term rental of apartments, real estate and vehicles
rental3. The development poses a challenge to the Tax Administration's access to information, because the compensation paid
they often fall outside the scope of the third party notification obligation. The problem is glo
ball.
Regarding the speed and current size of the development of the sharing and gig economy, a change has been presented
television ratings. Compilation of accurate statistics is hampered, among other things, by concepts and calculations
instability of field customs. The European Commission has evaluated sales on digital platforms
total value of the services of the 27 member states in 2018
around 34.3 billion euros and the value of peer-to-peer (P2P) trade in goods around 20.7 billion euros.4
More detailed figures are shown in the attached table 1.
1
Parker et al. 2016, p. 6.
2
Vallas – Schor 2020, p. 161.
3
Beretta 2021, p. 31.
4
European Commission 2020a, p. 34.
1
Sector Value (MEUR)

Accommodation services 15,272
Transport services 6,303
Other services 6,137
Funding 6,636
Total services 34,348
Total goods 20,713
Services and goods in total 55,061
Table 1: The size of the sharing economy in the European Union. (European Commission 2020a, p. 34.)
Along with figures in euros, the size and financial importance of the sharing and gig economy
can be described through the participation activity of the platform-mediated economy. European Trade
According to a study by the Union Institute, 4.3 percent of the European adult population has recently done so
during that year, work within the scope of the sharing and gig economy and work done for 1.1 percent of the
adult population through platforms has been the main source of income5 .
The sharing and gig economy has also become more common in Finland. The latest from the European Commission, from
The Digital Economy and Society Index (DESI) compiled in 2021 shows online goods
and that participation in service trade is common for Finnish individuals: 16-74 years
30.7% of the respondents in the younger age group reported that they had sold goods or services online
during the three months preceding the sely6. The report of the Institute of Economic Research
according to the most significant freelancer working in Finland in 2020
the platform (UpWork) targeted at jöki had 1,193 registered Finnish users, of which
599 had received income through the platform. Of the survey respondents, 60 percent of the platform brokers
the income received from the work offered there was less than 20,000 euros and 23 percent of the respondents reported
with an income of more than 10,000 euros.7 Short-term accommodation directly related to the sharing economy
drinking is also growing in popularity in Finland. in the member states of the European Union
according to the research conducted, 4% of all respondents had offered their own real estate or
apartment for short-term rent via an electronic platform occasionally or more often
and 5% of respondents had offered in the past or were about to offer in the future. in Finland
scope of the sharing economy were 2% and 7%. 8 The corresponding percentages last carried out in the
the national report in Finland is from 2016, when the value of sharing economy transactions
5
Piasna et al. 2022, pp. 4 and 11. The results are based on data collected from the following countries: Italy, Bulgaria, Czech
Republic, Estonia, France, Germany, Greece, Hungary, Ireland, Italy, Poland, Romania, Slovakia and Spain.
6 Eurostat 2022a.
7
ETLA 2020, p. 81.
8 Flash Eurobarometer 2021.
2
was estimated at around EUR 107 million. For 2020, the value of transactions was predicted to be 1.4 million
euro per yard, which, if realized, would have meant a tenfold increase in the size of the sharing economy
in four years.9
Platform ecosystems are diverse and rapidly changing. Combined with the digital economy
to the general growth of meaning and developing technological possibilities this change ai
will inevitably throw up new political and legislative challenges concerning the central
in a way also taxation10. First of all, the sharing and gig economy is characterized by numerous small
and generation of laboriously manageable income streams. Income fragmentation and ha
drifting is problematic from the point of view of tax supervision. The ineffectiveness of supervision leads to the catch
to the lowering of the risk and thus creates a potential incentive for the gray economy
for the operation. Secondly, from several incomes that are small in terms of euros and of an occasional nature
causes an increase in the administrative burden for the seller and buyer of the performance, because the income is reported
and clearing up responsibilities is generally perceived as laborious. Third, fear tax
penalties and possible sanctions can weaken platform-mediated financial activity
filthiness among those individuals who basically want to handle the tax
their obligations properly. Fourth, platform-mediated services can compete in the market
with those traditional and strictly regulated business sectors, such as the hotel business, placing the operators in a
fiscally unequal position.11
Shortcomings in the reporting of income generated in the sharing and gig economy to the tax authorities and the
resulting tax deficit are concrete consequences of the aforementioned challenges12. That
due to the development of the sharing and gig economy, transactions have moved from other to informal
from additional channels to electronic platforms, whereby the exchange becomes a reportable e.g
rope trace. As a solution to the challenges related to the sharing economy in the European Union, there is an
amendment directive to the civil service directive; DAC713. With that, platform operators will be subject to ra
porting obligation from the income generated through them, and at the same time obligates the Union's
9
PwC 2017, pp. 19-20. As far as we know, the fulfillment of the forecast has not been evaluated in retrospect. In the report, the sharing
economy was divided into five sectors, which were 1) accommodation and facilities, 2) peer-to-peer transport and car sharing, 3) household
and small jobs, 4) professional services and 5) crowdfunding.
10
European Commission 2016a, p. 2.
11
See Määttä 2019 pp. 148-149 and European Commission 2020a, pp. 9-17.
12
See e.g. Beretta 2017, p. 3 and Beretta 2021, p. 31-32.
13
Directive 2021/514/EU amending Directive 2011/16/EU on administrative cooperation in the field of taxation.
3
its states for automatic mutual exchange of information. The OECD has promoted its own reporting
is framed almost simultaneously with the development work done in the European Union and the model is kes
similar in terms of content in relation to the reporting obligation of the amendment directive. Tax Administration
from the point of view of the castle, the development of regulation will mean a significant increase in access to information
from income generated in the platform economy.
This study was prepared on behalf of the Tax Administration and its approach to the subject is
problem-oriented. The subject of the research is the Tax Administration's need for information, our effective taxation
the relationship between the internet and material tax issues related to the sharing and gig economy.
The information itself is the starting point for the tax decision, but the notification and communication obligations
as such, they do not guarantee a correct and efficient outcome in terms of the taxation procedure. Answer
the benefit of even the newly effective taxation process is questionable if it cannot be based on a relay
vant and sufficiently high-quality information.
The goal of the research is to find out how the report developed in multinational cooperation
the activity obligation corresponds to the national information needs of the Tax Administration in the sharing and gig economy
from the income generated for natural persons on the platforms. Based on the reporting obligation
the usability of the information obtained is evaluated in the four stages of determining the taxable income
through its constituent; scope, allocation, valuation and periodization problems14 form
usability evaluation framework. In the Employment Assistance Directive, the sharing and gig economy vessel
The essential activities covered by the reporting obligation are divided into four groups, which
are: 1) renting out immovable property, 2) personal service, 3) goods
sale and 4) leasing any means of transport. Each of the above
the essential activity is assessed individually using the components of income determination. You reached
the task is to present independent opinions based on legal argumentation
about the effects of the porting obligation and the possibilities of using the information obtained based on it
as part of the taxation procedure based on a pre-filled tax return.
1.2 Key concepts and research limitations
The Employment Assistance Directive refers to administrative cooperation in the field of taxation and the directive
Directive 2011/16/EU repealing 77/799/EEC. The Employment Assistance Directive is used
14
See Räbinä et al. 2019, p. 79.
4
also the abbreviation DAC, which is identified by the numbers attached to the respective directive
additions made in chronological order.
The abbreviation DAC7 refers to the directive on administrative cooperation in the field of taxation
2011/16/EU amending the directive 2021/514/EU. With the directive in question, the post
the auxiliary directive was supplemented with, among other things, article 8 ac, which concerns the sharing and gig economy
reporting obligation. The term "change directive" is used exclusively in this study
to Directive 2021/514/EU and with the expression "postal aid directive" exclusively to the directive
2011/16/EU, unless specified otherwise in the context. The scope of the study is limited to others
the content of the tos directive, which is not directly related to the platform economy's reporting obligation.
DAC7 is substantially similar in terms of content to Model Reporting developed by the OECD
Rules for Digital Platforms (MRDP) and the subsequent The Digital Platform Information (DPI)
XML Schema. The latter is a standardized IT format that enables MRDP's mu
electronic reporting and exchange of collected data. Model rules first ver
sion was narrower in scope compared to the DAC7 content. Deviating from the amendment directive, the custom
the trade in drugs was not covered by the obligation. The content of reporting according to DPI has been expanded
with the option published in June 2021, which enables such platform economy operators
the reporting obligations for the inclusion of platforms on which physical goods are traded
I'm in the circle. Even though the OECD model, with the option included in it, is largely identical to DAC7
with the content, there are two separate reporting regulations. Speaking of the OECD model
in this study is meant by default the extended version, the adoption of which is
For the member states of the European Union, the most natural option is the aforementioned uniformity
because of. To the content of the OECD reporting standard and to the reporting procedures according to it vii
referred to in this study with the simplified expression DPI. The aim of the study is not
Detailed head-to-head comparison of DPI and DAC7. DPI plays a key role in sharing and
in the development of the gig economy reporting environment and the comparison of reporting obligations
focuses on the content relevant to the research.
Platform economy is an unstable concept. Government's information policy
according to the definition presented in that report, it means the possibility of internet development
listed business organization model.15 Its manifestations are technological platforms,
15
VNS 7/2018, p. 27.
5
with which other actors can offer their own products and services to the market16. Also
the close or sub- concept of alus economy, the sharing economy, P2P-economy is a concept
unsettled. Typically, it refers to the extra between private people
for the distribution of resources in such a way that ownership of the asset does not change. For example, a shortage
temporary consideration of privately owned tangible or intangible resources
transferring language outside of one's own use is generally considered an activity belonging to the
sharing economy17. The rental properties are diverse and have their own specialized platforms
have formed, for example, for accommodation facilities, means of transport and hobby equipment
to the 18 Platform-mediated peer-to-peer trading can be considered a phenomenon close to the sharing economy,
which refers to the platform-mediated sale of goods at the interface between private economy and
income-generating activities19. The third considered to be part of the platform economy and somewhere
A sub-concept overlapping with the sharing economy is the gig economy. A type
because it refers to the individual tasks, i.e. gigs, transmitted on electronic platforms
for offering and receiving in return. The work performance can be either physically to
services implemented or delivered entirely over the network20. Between concepts rel
this is illustrated in Figure 1.
Figure 1: Relationships of phenomena. Platform economy and sharing economy. Nokkala et al. 2019 p. 6.
16
VNS 7/2018, p. 27 and Vallas – Schor 2020, p. 2-3.
17
See e.g. Nieminen – Nykänen 2018b, p. 47 and Päläs 2019, pp. 1-2.
18
The variety of rental services is discussed in more detail in subsections 4.3.2 and 4.3.5.
19
See e.g. Mäenpää 2020, p. 69 pp.
20
See Vallas – Schor 2020, p. 2 pp.
6
In this study, the sharing and gig economy refers to the electronic resources of a natural person
to the essential ones referred to in Annex V of the civil service directive offered through the platforms
mines, the buyer of which is a natural or legal person. Those obtained from the sharing and gig economy
the income source of compensation can be the income source of personal income or business income
source, if the activity can be considered to meet the characteristic features of business activity tax support
in it. In my opinion, deviating from the definitions presented in the previous paragraph is justified
tua, taking into account the instability of the conceptual environment and the content of the directive and it
in naming the corresponding DPI adopted on the line. The main difference is the concept of peer-to-peer trade
making it part of the sharing economy.
In this study , light entrepreneurship refers to arrangements whose goal is to
a list of reporting and other duties belonging to the operator of economic and income-generating activities
outsourcing of duties to an external service provider. Use these
examples include invoicing services and services for which a natural person can authorize
in order to apply for a y-ID in their own names. The latter are in principle
comparable to accounting services. Typically, users of light entrepreneurship services are
self-employed persons who offer, for example, cleaning, transport or construction services through one or more
platforms21. Uusi työ ry, the industry association of light entrepreneurship services, you do
the results of this interview study support the concept of the difference between light entrepreneurship and platform work
from that connection. Based on the data collected in 2021 and 2022, 5%-23% of light entrepreneurs
obtain their commissions as a rule via an electronic platform22.
The study does not deal with the taxation of companies that maintain digital platforms. Those working in the field
Mentioning the names of the companies is justified by the phenomenon and the operation of those applied in the market
to illustrate the models. The ve of the mentioned companies has not been used as the research material
race information or other confidential information. Illustrative examples and operation shown
descriptions of customs are based on publicly available material.
21
See e.g. Malinen 2019 and Tax Administration 2019a, section The change in employment will continue strongly.
22
New job - Kantar TNS 2022, soon how will you find your assignment? Uusi työ ry's member companies had 217,000
users at the end of 2021. The number of respondents in the study referred to above was 1,681, so the results can be
considered indicative in nature.
7
The research is limited to only those who receive income from the sharing and gig economy
personal income taxation. Considerations regarding other types of taxes have been included in the study
in those situations where they support the processing of a matter related to income taxation.
1.3 Research questions and methodology
1.3.1 Research problem and research questions
The description of the subject area presented above, the justification of the necessity of the research and the area to be discussed
the solutions made for delimitation can be summarized in the form of a research problem. Research ta
the solution is to find out the content of the amendment directive's reporting obligation and its meaning in relation to it
brought up in legal literature, national law preparation and expert interviews
to the challenges of the Tax Administration's access to information and taxation procedure. As the aim of the study
is to give reasoned views on the usability of the data covered by the reporting obligation
therefore, in the tax return procedure for natural persons based on pre-filling.
The research seeks answers to the following research questions derived from the research problem
for mutes:
1. What are the Tax Administration's information needs about income generated in the sharing and gig economy
in personal income tax?
2. What is the new version of the official assistance directive 2011/16/EU amended by directive 2021/514/EU
Article 8 ac of the legal obligation to report on the sharing and gig economy
contents?
3. How consistent with the new Article 8 ac of the Public Assistance Directive 2011/16/EU
the reporting obligation is with the information need presented in the 1st research question and with what
under certain conditions, information covered by the directive's reporting obligation can be used
in a taxation procedure based on a pre-filled tax return?
8
1.3.2 Method choices specific to the research question
The correct choice and appropriate use of the method form the basis of a critical review
lun for sustainable scientific research. According to Oiva Ketonen23, knowledge can be considered non-existent
van scientific knowledge, if the following three conditions are met; 1) conclusions must be Fri
must be based on publicly available arguments and these arguments are correspondingly correct
comprehensible to the members of the scientific community who received the lute, 2) the information must be relevant and
deal with the essential instead of the irrelevant, and 3) the produced information is questioned by the scientific community
subject to a condescending gaze and the study admits its correctable nature, thus refraining from lo
from the assumption of fullness. These principles form the methodological rules of this study
the foundation of the poems and, in addition to that, also serve as a guideline for presentation.
Answering the first research question requires, first of all, the Tax Administration Act
determining the purpose of the regulations, secondly, identifying gaps related to access to information and
thirdly, finding out the boundary conditions for the utilization of information. These perspectives are discussed
primarily by means of the legal dogmatic method. In addition, the research question is applied for
background using qualitative material. The material consisting of expert interviews is handled by
using the county's qualitative method and the research sample is abductive; with the help of qualitative material
to identify aspects related to the taxation of sharing and gig economy income,
which would go undetected based on other background material.
The answer to the second research question is sought using the legal dogmatic method. You reached
the way is to bring up the new Article 8 ac of the Civil Service Directive and the new Annex V that specifies it
Essential content. At the same time, the aim is to present interpretations in the hands of those who adopted the directive text
content and scope of the roads.
The answers to the previous two research questions create the basis for the third research question
for answering the kimus question. In this context, the legal dogmatic method is used
slide and present justified views on the Tax Administration's need for information and the reporting obligation
on the possibilities of harmonizing the information obtained on the basis of
23
Ketonen 1976, pp. 13-23.
9
1.3.3 Description of methods
The methodology has developed alongside the progress of research work, new legal perspectives
opening during the process. Answering the research questions requires a multi-method
distant approach; the research thus utilizes the methodological pluralism prevalent in jurisprudence
mia24. DAC7 is a secondary right of the European Union and obliges member states to implement it
to implement the directive into national legislation in a way that realizes its goals. Also
The task of the tax administration and the boundary conditions set for its operation are based on the validity of ole
but to legislation. Therefore, the legal dogmatic method can be considered a justified departure
for solving the research problem set as a point.
The main goals of legal research are the interpretation of prevailing legal norms and
systematization25. Legal research conducted using the methods of legal research
the meaning can be considered to be finding out where the status according to the law in force at any given
time26. The Amending Directive 2021/514/EU in question is part of European tax law and therefore one
of the three Finnish tax law blocks, the national tax legislation and the tax treaty
along with 27. The Amendment Directive in question is part of the European Union binding on the member states
secondary law and as such, taking into account the transition period and implementation rules, vol
Finnish legal order. About the change directive that is of interest to the research
can therefore be spoken of as a valid regulation. Research questions and method selection
also guarantees that the opinions of the legal research published on the new regulation can
vat affects the established line of interpretation. Correspondingly, legal research-related ve
political views can be taken into account in tax law before the drafting of the law
in further discussion28.
Two separate, discretionary measures taken to clarify the tax administration's information needs
the thematic interviews conducted with nalla29 constitute empirical qualitative material. First
The expert interview focused on the development of international tax information exchange, DAC7 report
to performance obligations and the information needs of the Tax Administration through sharing and gig economy platforms
24
Hirvonen 2011, p. 9.
25 Ibid. pp. 22.
26
Myrsky 2011, p. 50.
27
Helminen 2018, p. 27.
28
Myrsky 2011, p. 50.
29
Hirsjärvi – Hurme 2000, pp. 58-59.
10
of the generated income. The criteria set for the interviewee were the international Verotieto
tasks closely related to exchange and the reporting obligation according to the directive.
The theme of the second expert interview concerned the phenomenon of light entrepreneurship and the foundation of the sharing economy
the relationship between them. Also in this context, the interviewee was assigned a corresponding official position
condition regarding content. In addition, both interviewees were required to complete more than five work tests
black In the service of the Tax Administration. The interviews were conducted between 12.11.2021 and 27.1.2022
chicken. Interview 1 was organized remotely and interview 2 was conducted in the presence of Verohal
in the castle premises. Both interviews were recorded and transcribed, in connection with which the interviewee
were anonymized with the pseudonyms H1 and H2. Among the interviewees, H1 supplemented his answers
sia later by email. Before starting the interview, consent was obtained
for participating in the program and familiarizing yourself with the privacy statement. The favor regarding the interview
the registration form, the Privacy Statement and the interview questions were delivered for the interviewees to see
ville in advance. The theme frames used are attached to this study.
The literature prepared on the basis of the interview recordings is not enough in itself to prove Verohalli
along with the information obtained from zero platform economy operators, the challenges and problem areas that
possibly related to this information. The role of the method in the processing of qualitative material is the differences
and the findings of the research results30.
Take into account the objective of the expert interviews and the specific nature of the research problem
the purpose is to form an understanding of the nature of the research object and the related challenges
about you and open questions31. The material is approached through a factual perspective32; the victory is not the
formation of a new theory based on the interview material33. Research
the interest is not to present generalizable interpretations, for example, of other European Union member states
information about the circumstances faced by the tax authorities or to confirm pre-set hypotheses.
30
Alasutari 2011, p. 63.
31
Cf. Hirsjärvi – Hurme 2000, pp. 58-59.
32
Puusa 2011, p. 118. The factual perspective refers to an approach where interest is focused on the substance of the
interview material and the relationship of the interviewees to the subject under investigation is brought to light due to its
essentiality. Puusa describes the factual perspective as a lens through which the researcher examines the reality formed by
the material and makes observations relevant to the research problem. Correspondingly, in the sample perspective, attention
is paid to the interviewee's way of saying or expressing views related to the topic instead of the substance. Considering the
research problem, the fact point of view therefore has strong grounds as a reference frame for this study.
33
Cf. Tuomi - Sarajärvi 2018, p. 80.
11
The analysis is linked to the process of interpretation and reasoning, through which the interpretation progresses towards the hand
forming a moral understanding of the phenomenon under investigation34, in this context the Tax Office
non's information needs and the usability of the information obtained based on the reporting obligation
in income tax. As a structured analysis method of the data, the theory-guided si is applied
content analysis35, which is shown in the research setting, the questions, the theories of the interview body
as a connection between the reference framework and available legal source material
tuesday
1.4 Research structure and key sources
The purpose of the introduction to the research is to form an overview of the topic of the research. In addition
the concepts and methodological choices relevant to the research are defined. Introduction
the aim of the following second chapter is to deal with the background and meaning of Directive 2021/514/EU
as part of the historical development of international information exchange. The figure also shows the OECD's ta
the parallelism and overlapping of the developments in Holland in relation to the European Union
efforts to expand and enhance cross-border exchange of tax information.
The third chapter deals with the current state of information access and challenges from a national perspective. Ta
the victory is to evaluate the Tax Administration's access to information before the implementation of the change directive
avoid time. The focus of the examination is the content of the statutory task of the Tax Administration, its implementation
taming's prerequisites in terms of obtaining information and the taxation procedure, as well as the taxation procedure
the means of obtaining information enabled by the given law (1558/1995, VML) before the amending directive
no reporting obligation. At the end of the chapter, the results of the expert interviews and the management are presented
decisions.
The fourth chapter reviews the meaning of the new Article 8 ac of the Civil Service Directive in the previous one
on the basis of the observations made in the chapter and compare the reporting obligation set by it with the applicable one
partly to the content of DPI. The scope of the reporting obligation includes essential actions, e.g
each in its own subchapter. The goal is to evaluate based on the reporting obligation
usability of the information obtained in the taxation procedure, especially with a pre-filled tax return.
The review will be tied to the aspects revealed in the expert interviews where applicable. Everyone
34
Puusa 2011, p. 116.
35
See Tuomi - Sarajärvi 2018 p. 78. As a concept, content analysis can refer to a clear process-like we
Along with the truth, also in a loose theoretical framework.
12
in connection with the processing of its essential act, kei that make the taxation procedure more efficient will be brought up
rest. The fifth chapter summarizes the key findings of the study and presents the management
decisions.
From the point of view of the research, the relevant sources are the amendment directive concerning the reporting obligation
vin, the official assistance directive and OECD DPI materials with attachments. The tax administration's need for information and the way
from the point of view of usability, the Income Tax Act (1535/1992, TVL) and the
the provisions of the Act on Breed Procedure. On the reporting obligation of the sharing and gig economy
the available international tax law literature is mainly limited to the topic studied
to the articles written by Giorgio Beretta. In addition, in an international review, mer
sufficient weight is given to the material published by the OECD. The national scale of the sharing economy
van's tax issues have previously been handled by, for example, Martti Nieminen, Pekka Nykänen and
Kalle Määttä.36
The implementation of the directive into national legislation is valid when writing the research
mistletoe level, so there is no legal practice or government proposal related to the reporting obligation available37. The study
refers to the cor. on income taxation and taxation procedure
to the jurisprudence of Keimma's administrative court by assessing the need for information and the usability of the information
in connection with
36
Beretta 2017, Beretta 2021, Nieminen – Nykänen 2018a, Nieminen – Nykänen 2018b and Määttä 2019.
37 Legislative preparation VM009:00/2022.
13
2 DEVELOPMENT OF INTERNATIONAL TAX INFORMATION EXCHANGE
2.1 Incentives for the exchange of tax-relevant information
The right to tax and the realization of this right in the form of tax collection are a basic economic prerequisite for
public activities maintained by nation-states38. Collected by statutory taxes
its basis is correspondingly usable information about the tax object and the tax subject,
to which the taxing right based on the law can be applied. National income tax based
these systems are thus dependent on the information that can be obtained about cross-border transactions
to be made available to the tax authority. From early bilateral information exchange agreements approx
the development of actions aimed at the exchange of road information can be considered in terms of the objectives of the management
in accordance with, but in different jurisdictions at different times, according to the contractual instruments used
nalta as varied and overlapping. Methods that support each other and emphasize different areas
development has been parallel. Globalization, the increase in trade and the economy
due to halving, the need for cross-border exchange of tax information has grown steadily.
The central goal of tax information exchange in the 2020s is still the prevention of the tax deficit39
nose
Automatic, spontaneous, and on-demand information exchange make up the three averages
implement the principle of information exchange in cross-border situations. States can commit to these ta
to different and more extensive procedures, such as in the presence of the competent tax authority
to a right of residence in the jurisdiction of the other contracting party or simultaneous tax audits
enabling40.
Automatic data exchange refers to the regular exchange of mass data.
Jurisdictions committed to data exchange exchange e.g. work income, management
38
see e.g. Martin et. al. 2009. The published work combines legal, historical, sociological and ta
a zoological perspective on the taxing rights of nation states and the maintenance of the social structure.
39
Tax Administration 2014a. In the final report of the working group appointed to develop tax gap assessment methods,
the concept is defined as follows: "Tax gap refers to the difference between statutory tax collection and realized tax
collection." For the English term "Tax Gap", see OECD 2008, pp. 16-18.
40
see e.g. Helminen 2018, pp. 336-338 and Wittman 2013, pp. 181-187.
14
jan fees, pensions and real property ownership relationships and returns
toja41. In a spontaneous exchange of information, the competent tax authority of the contracting state must be contacted
transfer to another state the information that the first-mentioned has obtained and which
can be assumed to be of interest to the competent authority of another state. Information like this
may come up, for example, in connection with a tax audit carried out in the first-mentioned country
where42. Information can be exchanged spontaneously even when the competent authority
there are grounds to assume that another state committed to the exchange of information will lose tax revenues without
the provision of information or the income is subject to a tax exemption or reduction in the state providing the information,
as a result of which the income in question can be taxed in another state43. On-demand road
the exchange of information requires an individualized information request made to the authority of another state,
the aim of which is, for example, to identify a tax subject or object44. Aiming for DAC7 and DPI
is to bring income received from sharing and gig economy platforms into the scope of automatic data exchange.
Before its entry into force, access to information on platform income in cross-border situations has been limited
for spontaneous and on-demand information exchange.
Historically, the oldest regulation of information exchange is based on bilateral negotiations
tax treaty practice, the principle starting point of which is in the internationally recognized mal
in supplementary agreements45. Second, automatic data exchange can be agreed between jurisdictions
between the Tax Information Exchange Agreement (TIEA) published by the OECD Global Forum -
by means of the contract standard. The third standard, OECD's Convention on Mutual Administrative
Assistance in Tax Matters (CMAAT), is a comprehensive, multilateral information exchange agreement. In addition
The member states of the European Union must commit to the exchange of information as a secondary law of the Union
obliged by the relevant directives, the most relevant of which is 2011/16/EU (official aid
compact, DAC). The fifth key valid standard for data exchange is Yh
an agreement based on dysvaltain's Foreign Account Tax Compliance Act (FATCA) legislation
mus procedure46.
In the international political debate on taxation, nos
highlighted the need for a single reference framework, such as the European Standard47 or a single
41
See Helminen 2022, section Special civil service contracts.
42
See Äimä 2017, p. 431.
43
See Helminen 2022, section Special civil service contracts.
44 Ibid. p. 431.
45
The most important are the OECD and UN model agreements to eliminate double taxation.
46 Äimä 2017, p. 205 ff.
47
E.g. Obhof 2009, p. 412.
15
about the necessity of a responsible party48 for international tax information exchange . The ex of these points of view
especially the publication of new regulations or new contractual instruments
in connection with. At the moment, the development seems to have settled into a model where the key actors huo
they imitate the progress made elsewhere and adapt their own solutions accordingly
the general development line of the country's information exchange. Therefore, the DAC7 should be taken into consideration when reviewing it
In addition to the content, I also consider the status of the directive as part of the development of international information exchange.
2.2 OECD as a developer of bilateral information exchange agreements
2.2.1 Information exchange as part of the OECD model tax agreement
In September 1961, the responsibility for the development of international taxation was transferred to a new one
when the OEEC became the Organization for Economic Co-operation and Development (OECD). Other
the first of the model tax agreements published after that, the 1963 draft version,
subsequently included the modification of the essential substantive framework of international tax information exchange
article 2649 of the friendly
In the 1977 model treaty version, some changes were made to Article 26. The most essential of these is
addition, based on which Article 1 of the agreement does not limit the scope of the information to be exchanged. In addition
the wording of the 1977 version of the agreement has been deemed to have allowed for the information exchanged
utilization also for tax matters of the state that received the information other than the information request referred to in
spring, however to the extent that taxation is not contrary to the agreement50. In the 2005 version of the model agreement,
the wording of Article 26 paragraph 151 included the pre-estimated
the concept of materiality. As a result of the change approved by the OECD in July 2012, 26 ar
52
tikla has enabled a very broad exchange of information without restrictions.
48
E.g. Tychmanska 2021, p. 614, Aucejo 2018, p. 73, Wouters - Meuwissen, 2011, p. 4.
49
Seer 2013, p. 66.
50
The wording in the 1963 version of the model agreement reads: "..shall exchange such information as is necessary
for the carrying out of this Convention and of the domestic laws of the Contracting States concerning taxes covered by
this Convention insofar as the taxation therein is in accordance with this Convention. " In the 1977 version of the model
agreement, the matter is expressed: "..shall exchange such information as is necessary for carrying out the provisions
of this Convention or of the domestic laws of the Contracting States concerning taxes covered by the Convention
insofar as the taxation therein is not contrary to the Convention .” see also. Jimenez 2013 p. 76.
51
The wording in the 2005 model contract version reads: "..shall exchange such information as is foreseeable
relevant for carrying out..”.
52
Jimenez 2013, p. 76.
16
2.2.2 Global Forum and TIEA Agreements
In 1998, the Organization for Economic Cooperation and Development published harmful tax competition
the report53. Its central content is based on the definition and evaluation of tax havens and preferential tax
regimes54,
which are united by weak information exchange opportunities and poor transparency
in tax matters. The only solution to these problems is the bilateral information exchange agreement
based on negotiations is challenging. Increasing global transparency related to tax matters was considered to
require a multilateral negotiation relationship55. The Global
The Forum on Transparency and Exchange of Information for Tax Purposes (Global Forum) is
an international tax established to address the problems identified in the 1998 report
a cooperative body promoting the exchange of information, which operates under the auspices of the OECD. Since 2009
Membership of the Global Forum has been open to everyone for information exchange in accordance with the OECD standard
and to the jurisdictions committing to the evaluation to ensure its implementation56.
The model Tax Information Exchange Agreement (TIEA) is one of the most important of the Global Forum
achievements. The TIEA published in 200257 is specifically about cross-border data exchange
an instrument intended to agree on the procedure, the content of which is based on Article 26 of the 2000 version
of the OECD model tax treaty58. The TIEA model agreement contains separate articles e.g
as a sign of data exchange on request, cross-border tax audit and information
to the possibility of refusal regarding the request. The starting point for the development of the TIEA model has
been its suitability for agreeing on both bilateral and multilateral information exchange59. In the year
In 2015, the agreement was updated with an additional protocol signed by those who committed to the agreement
the parties can expand the scope of the current agreement to also cover automatic data exchange60.
53
OECD 1998.
54
Ibid. paragraphs 44 and 60-64.
55
Ibid. paragraph 138.
56
OECD 2009, p. 2.
57
The first development version of the TIEA agreement was the agreement concluded in 2000 between the United States and Antigua and
Barbuda, although the first actual model agreement version is the model document published by the Global Forum in 2002. see Afandi 2013
p. 43.
58
Afandi 2013, pp. 43-44.
59
In practice, however, all valid TIEA agreements are bilateral in nature.
60
See Äimä 2017 pp. 437-439.
17
2.3 Multilateral Data Exchange Agreements
2.3.1 Efficiency as a prerequisite: early multilateral information exchange agreements
The fundamental weakness of tax treaties enabling bilateral information exchange tu
become visible as the number of signed contracts increases. Several individual and si
effective management of the entity created by tax agreements that differ in content from each other
requires significant administrative resources from the contracting parties and the readiness to form a continuum
newly maintained overall picture of the general state of information exchange and the possibilities of agreements
about updating needs in a changing global economy. Accordingly, bilateral agreements
ratification requires a commitment to the negotiation costs arising in the process, the concept ta
palatologically understood in a broad sense. Alongside bilateral agreements
formed in the period after the Second World War, multilateral agreements were also possible
to ensure cross-border data exchange. The natural environment for this kind of agreements were
countries that are geographically close and active in economic cooperation. As a European ancestor
as signs of these early multilateral agreements, it is justified to highlight Bene
the agreement on mutual official assistance signed between the lux countries in 195261.
Another pioneering multilateral agreement was born in Northern Europe. It is the year
The convention between the Nordic countries on the granting of office in tax matters entered into force in 1972
for help62. In addition to Finland, its parties were simultaneously and mutually Sweden, Norway, Denmark and
Iceland63. The text of the agreement was updated in 1976, 1981 and 1987, finally
the agreement that entered into force in 1991 being the latest update. At that time, the agreement part
the Faroe Islands and Greenland also came in half.64
The scope of the agreement concluded between the Nordic countries on official assistance in tax matters
broadly, almost all taxes collected in the Nordic region, including gift and inheritance taxes and i.e
social insurance premiums and other public payments65. Office assistance covers the service of documents,
61
Convention of 5.9.1952 between the Netherlands, Belgium and Luxemburg with regard to mutual assistance concerning the
collection of taxes. see Kosters 2001, p. 323.
62
The Nordic Mutual Assistance Convention on Mutual Administrative Assistance in Tax Matters (Nordic
civil service agreement). Valkama 2013, p. 199.
63 Ibid. p. 200.
64
Ibid. p. 200 and SopS 37/1991.
65
SopS 37/1991, articles 2 and 20.
18
keeping statements related to tax matters, tax declaration forms available, actions on
to prevent repeated advance collection and related to tax collection, transfer and collection
actions66. Accordingly, the methods and principles of information exchange based on the agreement are fine
extensive compared to the rest generally valid in Europe at the time the agreement was drawn up, ol
to the contractual practice aimed at information exchange67.
The agreement concluded between the Nordic countries on official assistance in tax matters plays a significant role in the
in terms of the development of international tax information exchange. The contract includes what happens on request
along with data exchange, a mechanism for automatic data exchange as well.68 Before the North
the signing of the multilateral agreement between the countries in 1972 in practice
all information exchange was based on bilateral agreements and specific requests for official assistance
hin69. The agreement between the Nordic countries was the first data exchange model in which a car
automatic delivery of mass data is described explicitly, simultaneously obliging several jurisdictions for automatic data
exchange70.
2.3.2 CMAAT and MCAA
The next development in the field of multilateral information exchange was the Council of Europe and
The Convention on Mutual Administrative Assistance in Tax Matters, drawn up in cooperation with the OECD
(CMAAT, Convention on Mutual Assistance in Tax Matters). The first ones
the five parties that ratified the agreement were the United States, Sweden, Norway, Denmark and Finland, whose
with the signatures, the CMAAT agreement entered into force in May 1995.
The agreement on administrative official assistance in tax matters has several strengths; for example
set goals for setting a uniform standard for information exchange, regarding information exchange
for harmonization of interpretations of terms and guarantees that taxpayers' rights are respected
therefore71. By nature, it is an agreement that is widely applicable to the exchange of information, and the applicable
taxes are income taxes, wealth taxes,72 social insurance contributions73, and
66
SopS 37/1991, Article 1.
67
see Juusela 2003, p. 31.
68
Valkama 2013, pp. 202-203 and SopS 37/1991, Article 11 paragraph 1.
69
Juusela 2003, p. 31 and Valkama 2013 p. 202.
70
Valkama 2013, p. 202.
71
For the listed principles, see Omtzigt 2010, Part B, Section 1, Subsection 3.
72
OECD Convention on Mutual Administrative Assistance in Tax Matters, Article 2(1)(a).
73
OECD Convention on Mutual Administrative Assistance in Tax Matters, Article 2(1)(b)(ii).
19
several other tax categories, such as real estate, gift, motor vehicle taxes and indirect taxes, eg
ten value added tax. However, the agreement as such does not require automatic data exchange,
rather, the countries must agree on the activation of the procedure. In October 2014, OECD publ
to sign the Multilateral Competent Authority Agreement (MCAA),
by signing which the jurisdiction can collectively commit to the automatic data
for exchange with other signatories to the CMAAT agreement.74
2.4 Development of information exchange in the European Union
The information exchange articles of bilateral tax treaties have formed until the 1970s
the prevailing paradigm for cross-border cooperation between tax authorities. The situation was similar
valid between the member states of the European Economic Community (EEC), and the network of bilateral tax
treaties was not comprehensive75. In order to promote the goals of the community, it was seen as justified
harmonizes the exchange of tax information within the community. The competent authority of the Member States
The Directive on mutual assistance in the field of direct taxes (77/799/EEC) was the answer to that need. It was
updated with several amending directives and regulations76 to correspond
the development in information exchange described above.
The old official assistance directive was valid until 2011, when the differences in its content and scope
between their economic and political needs led to the replacement of the directive in its entirety
with the new directive 2011/16/EU. The ineffectiveness of the old directive came to the fore, especially in
material falling within the scope of the national banking secrecy regulations of those states, res
in spring cases. The old directive did not include precise deadlines for responding to requests for information
mise, which led to delays77 in the delivery and exchange of information. 78 These substantive ke
In addition to immediate needs, the new directive was influenced by political momentum. The year 2008
As a result of the financial crisis, demands for tax information were highlighted in the political debate
on the minimum level of exchange and cross-border transparency79.
74 Äimä 2017, p. 443 ff. see Terra -

75
Wattel 2005, p. 675.
76
Directives 79/1070/EEC, 92/12/EEC, 2003/93/EC, 2004/56/EC; Commission Regulation 2004/106/EC and the Council
regulation 2073/2004/EC.
77
The information had to be delivered "..immediately..". Article 5 of Directive 77/799/EEC.
78
Vascega - van Thiel 2011, p. 150.
79 Ibid. p. 150.
20
The scope of the new directive was extended to cover all those in force in the member states
taxes, except for the exceptions listed in the directive. A positive difference from the old directive
to that, exhaustive listing method must be noted. Another change considered essential80 is the new one
situation-related deadline of two or six months according to Article 7 of the directive
for responding to a request for information. These improvements promoting transparency and information exchange
in addition, the new directive enabled a wider use of the obtained data81 and the sharing of the data to another
member state or a third country with the permission of the member state that provided the data82. New
the directive enables spontaneous, automatic and on-demand data exchange, already
as the procedure is focused on covering different risks and needs83.
The original directive has been supplemented with amending directives six times. Entered into force in 2011
when referring to the current content and wording of the directive, the expression is generally used
DAC (Directive on Administrative Cooperation), after which the Amending Directives are separated
with corresponding serial numbers DAC2 to DAC7. One of the most essential additions is realized
was made with the amendment directive 2014/107/EU (DAC2), which allows administrative cooperation direc
tive was brought into line with the OECD's Common Report Standard (CRS). Ky
it contains information corresponding to the US FATCA regulation and IGA agreements based on it
yen exchange standard, the adoption of which improved the international transparency of such
for persons who manage wealth outside the borders of their country of residence.
80
E.g. Gabert 2011, p. 344.
81 See to Directive 2011/16/EU Article 16.
82 See Article 24 of Directive 2011/16/EU.
83
Gabert 2011, p. 343.
21
3 CURRENT STATUS AND CHALLENGES OF INFORMATION ACCESS
3.1 The starting points of the need for information
3.1.1 The task of the tax administration and the principle of legality
Section 81.1 of the Constitution (731/1999, PL) indicates the legality principle of taxation84. The law
according to "The state tax is regulated by law, which includes provisions on tax liability and tax
the basis of the amount and the legal protection of the taxpayer". The tax decision made by the tax authority must therefore
be based only and only on valid law85, and the tax obligation cannot be imposed by a provision lower than the law86. PL 2.3
§ contained in oi
according to the principle of sovereignty in all use of public power, the core area of which is tax support
it can be considered to belong, the law must be strictly followed87.
The content of the tax legislation is concretized as delivered taxation, which falls under the area of responsibility
to the Tax Administration under the Ministry of Finance. The law on tax administration
(503/2010, VHL) according to § 2.1, its "... task is to deliver taxation, tax supervision,
collection, collection and settlement of taxes and payments, as well as legal enforcement of tax payers accordingly
as separately stipulated". According to the second paragraph of the section in question, "The Tax Administration shall further
correct and uniform taxation and develop the service capacity of the Tax Administration". Here
the content of the mentioned legal clauses is consistent compared to Ve, which preceded the current act
to the corresponding provisions of the Norwegian Forestry Act (1557/1995) and they create the basis for the actions of the Tax Administration
teddy. The tasks and organization of the Tax Administration are regulated along with the Act on the Tax Administration
also in the government decree on the Tax Administration (562/2010, VHA), in addition to which the Tax Administration
there are provisions regarding non's operation in other legislation as well88. In income taxation no
the dateable procedure and the appeal are provided for in the Act on Taxation Procedure.
84
Juusela 2018, p. 450.
85
The Constitutional Law Committee has stated its position that the basis for the size of the tax liability must be confirmed
in the tax law with such precision that the discretion of the tax authority when imposing the tax is so-called bound judgment.
See e.g. PeVL 45/2005, p. 3 86
Äimä 2017, p. 42-46. For more details on the principle of legality in tax law, see Knuutinen 2015, p. 811 pp. 87
Äimä 2017, p. 42.
88
See Myrsky - Räbinä 2015, p. 21. Examples of the legal provisions referred to here, but not identified in the context,
include, among other things, the requirement of impartiality and proportionality of official activity according to § 6 of the
Administrative Law, as well as the organization of business and case handling in the authority according to § 7 of the same
law, that the person dealing with the administration properly receives the services of the administration and the authority
can carry out its tasks effectively.
22
The basic task of the tax administration can be defined as cost-effective taxation
delivery and settlement of taxes and tax-related payments to the tax recipient in such a way that
taxpayers receive their income on time and in the right amounts89. The tax administration's strategic ta
the gains are fairly delivered taxation, ensuring tax revenues and positive
nen customer experience90. To implement the basic mission and achieve strategic goals
for this, the Tax Administration needs accurate and appropriate information on the taxable income and expenditure
divided by deductibility, correct tax subject, income or expenditure per tax year
to determine it and the amount of the tax91. Basing taxation on the actuality of the measure
beyond the exclusively legal form is the general principle of tax law, which
implementation always requires knowledge of the actual conditions92. Getting the right information or
after finding out the rest, the material must be further processed and analyzed. I get the information
, the provisions of Chapters 2 and 3 of the Taxation Procedures Act, of which the first mentioned, are relevant
concerns the reporting obligation of the taxpayer and the latter with the notification obligation of the third party
mouth. Chapter 4 of the Taxation Procedures Act forms the basis for processing the received information and
for submitting income tax.
3.1.2 Obtaining information as a prerequisite for correct and timely taxation
The risks related to the implementation of correct and timely taxation can be divided into internal and external risks
of the Tax Administration93. Internal risks include general information security,
related to the competence of the personnel and the appropriateness and functionality of the information systems
risks. From the point of view of this study, the external risks are relevant, i.e. the way of the Tax Administration
the uncertainty related to the donation and the realization of the reporting obligation of taxpayers
the factors. The totality of external risks is thus formed by the compliance with the law of those obliged to report
about factors related to the availability and quality of information received from third parties. Mixed
The most important principle-level goal of external and internal risk management is for the taxpayer a month
ensuring tax revenues based on the legislation of permits, i.e. eliminating the tax deficit. Ve
errors in rot data must be found regardless of their causes. In practice, this means
incorrect and incomplete declarations, such as information provided by third parties or the taxpayer
89
See Äimä 2017, p. 44.
90
VM 2022, p. 3.
91
The elements listed here make up the components that require an opinion when determining the tax object, i.e. scope,
accounting, valuation and periodization issues. Räbinä et al. 2019, p. 80.
92
Juusela 1998, p. 104.
93
Virmajoki 2008, pp. 24-26.
23
finding self-filed tax returns as well as unreported or incorrect ones
detection of underreported income. As a secondary support to the main goal of risk management
sena aims to proactively reduce errors in tax information. Hawaii
You should try to eliminate the causes of errors from the data acquisition and analysis processes
to the extent that elimination is possible with the means available to the Tax Administration. Col
mantena's goal is to increase the efficiency of risk management, i.e. in practice data-ana
utilizing lytics to find cases that require more detailed investigation
telya.94
The costs of the risk management system must be related to the tax revenues it achieves. Piss
such deviations from the materiality principle are, however, justified and necessary
in terms of credibility. Thus, the focus is on the fiscal significance of which
in addition, the credibility of the system is maintained by occasionally carefully examining the finances as well
additionally trivial information. The pursuit of cost efficiency has led to the disclosure of a bystander
for increasing the obligation and mechanizing and automating the taxation procedure.95
Obligation of the principle of legality of PL § 2.3 and the legality principle of tax law of PL § 81.2
Mana The selection of tools of the Norwegian Tax Administration's risk management system is derived from legislation.
In the government's proposal, the Act on Tax Administration and some related laws amended
therefore, the content of VHL § 2.2 is clarified by stating that correct and uniform taxation
the promotion is realized, among other things, by the harmonization of taxation issues issued by the Tax Administration
through instructions96. Despite their formal non-binding nature, they effectively guide Ve
decision-making by employees of the public administration. The unification instructions make the administrative end more efficient
push action, because they offer the opportunity to resort to ready-made operating models en masse
nature of taxation upon delivery. The guidelines are actually binding on the employees
despite this, the taxation decision must always be derived from the tax legislation97. In a central position
are also produced by the Tax Administration, not explicitly mentioned in the government's presentation
other instructions for taxpayers, production and maintenance of taxation information systems
as well as forms, manuals, bulletins and guides produced for taxation98. Essentially a weapon
94
Thus Virmajoki 2008, pp. 24-26.
95
Virmajoki 2008, pp. 24-26.
96
HE 148/2007, p. 29.
97
See Nykänen 2020, pp. 621-622.
98
See Äimä 2017, pp. 45-46.
24
mass are also the working method instructions issued by the Tax Administration, which are used to implement the tax
referring to the work to be done in connection with taxation as referred to in § 26.6 of the Act on tax procedure
Lintaa, which is a key tool for risk management. This refers to automatic electronic devices
using systems to pick out cases from the mass of data for which a more accurate understanding
tely is to ensure the quality, scope, uniform treatment and tax supervision of the matter
justified in terms of needs99. In connection with a more detailed study, it can also be used
the information obtained on the basis of a third party's disclosure obligation, which cannot be determined by their quality or
taking into account the nature, use as a basis for the taxation decision formed in the automation.100
According to § 26.5 of the Act on Taxation Procedure, "Taxation is submitted by the taxpayer's notification
tus, the information received from the party obliged to provide information pursuant to the provisions of chapter 3 and the matter
on the basis of other information obtained in Therefore, the information needs of the Tax Administration at least
the top level can be considered to have received the information necessary to submit the resulting taxation
about identification and evaluation of usability. VHL § 2.1 implementation at least
therefore, a valid tax law is a prerequisite for making the right tax decision
obtaining the information necessary to collect the taxes in accordance with the legislation. Accordingly, that one
the obligation set in § 2.2 of the law to promote the service capacity of the Tax Administration raises interest
subject to the opportunities described above within the jurisdiction of the Tax Administration, with which the Tax Administration
Linto can affect the course and smoothness of the process leading to the tax decision, as well as the notification
for the analysis and processing of the information provided based on the obligation. Things like this
in the context of the economy, platforms are for enhancing access to information and a platform for reporting
procedures affecting the methods of analysis and utilization of data provided by operators and
practices. Furthermore, the review can be transferred to a level beyond the jurisdiction of the Tax Administration, if
loi's interest is in the implementation of reporting obligations at the national level
to the solutions to be adopted in relation to the DAC7 content and the weather of possible delegation norms
to doing.
From the point of view of the taxation procedure, a situation where Tax
the administration would be notified in real time of the tax laws that have arisen in the sharing and gig economy
these incomes and the information necessary for their distribution and allocation, complete and direct
in usable form. However, this is not a realistic goal in practice, so road
99
Myrsky - Räbinä 2015, p. 27.
100
See also Iivonen 2011, p. 196 pp.
25
it is justified to assess real needs with an emphasis on the fiscal significance. Thus, the road of the necessary
in acquiring data and in the analysis processes, it is essential to focus on those areas where
combating the tax deficit has a significant value in terms of euros or the national economy. Pre
a sign of the latter are the negative effects caused by the shadow economy mark
for competitive competition101.
Therefore, information needs cannot be presented as a catalogable set of mutual meaning
these converging facts. It is a multidimensional entity that builds on each other's support
vista from perspectives. The subject area can also be seen as a hermeneutic circle where taxation
the actual meaning of information is built on the information unit and its utilization methods and goals
in the interaction between the, for which the boundary conditions are set by the Tax Administration's legislation
fulfillment of the task. The information itself is the starting point for the tax decision, but its notification
the obligation as such does not guarantee an effective and correct outcome in terms of the taxation procedure.
Correspondingly, even an efficient taxation process is useless if it cannot be based on relevant and
sufficiently high-quality information.
3.2 Obligation to declare income
The taxpayer's reporting obligation is regulated in VML chapter 2, in more detail
in § 7-14 f. Based on VML § 7.1, "The taxpayer must declare the Tax for taxation purposes
to the administration, their taxable income, the deductions made from it, information about their assets and liabilities, and
other information affecting taxation." Section 10 of the VML stipulates what must be given in the tax return
of information. In accordance with subsection 1 of the said legal section, the Tax Administration issues more detailed regulations
about the information and reports to be provided and the manner in which they are provided. Delegation regulation no
jalla The Tax Administration issues a decision on the reporting obligation and notes
(IlmVHp102).
A natural person, including a body according to the Act on Business Income Taxation
a shopkeeper or professional who receives income belonging to the income source of artificial activity, fills in
reporting obligation by filing a tax return either electronically or on paper
(IlmVelvVHp 1§). Issuance of a tax declaration in the notification procedure based on pre-filling
101 See in more detail Hirvonen - Määttä 2018, p. 21.

102 Tax Administration 2016a.
26
is realized by checking the pre-filled tax return of a natural person and possible cor
through sharing and returning103. Based on Section 7.2 VML, a pre-filled tax return can be
send to a natural person or estate, who can be assumed to have had ve
personal income or assets or liabilities covered by the reporting obligation. Tax return
consists of a declaration part, a breakdown part, a tax decision, bank transfer forms and a tax return
from dist. The pre-filled tax return shows the income and expenditure information of the taxpayer and
asset information to the extent that his financial activity has been acquired by a third party
within the scope of the donation obligation. If the information is partly incorrect or there is an obligation to notify
If the information belonging to the area is missing completely, it is the duty of the taxpayer to add to the tax return
damning correction.104 The professional or shopkeeper must give, to the mentioned pre-filled ve
along with the measures related to the income tax declaration, also the business tax declaration.
According to Section 7.3 of the VML, the business tax return must be submitted regardless of whether the ve
the taxable person had business income that ended or ended during the tax year
during financial periods or not. According to VML § 7.4, the tax declaration is considered to be a pre-filled form
as kaise, if the taxpayer does not make any changes to it.
According to Section 17 of the IlmVelvVHp, a natural person and the estate must report to the tax return
only the following information: the properties they own, housing stock companies and real estate
shares of limited companies, information on investment assets105, information on usufruct or management rights
sist to those mentioned above, shares of corporations and business and professional activities as well as agriculture
funds in a separately determined manner. The obligation to report debts only applies to credit and financing
institution and the state, welfare area, municipality, insurance and pension institution, service office
and loans granted by the employer to the taxpayer as well as other loans whose interest is tax deductible106.
103
Räbinä et al. 2017, p. 116.
104 Äimä 2017, p. 55.
105
The term "investment assets" used here refers to the following types of assets listed in the VHp in question: "Shares
and shares of a limited company or other entity, shares of investment funds and collective investment companies,
other securities and shares of value, but not as defined in the Act on Withholding Tax on Interest Income (1341/1990)
issued bonds, similar bonds offered for registration by the public in the European Economic Area or bonds issued by a
public entity in the European Economic Area or an interest payer subject to accounting obligations, and not by
consumer cooperatives and cooperative banks engaged in the sale of ordinary consumer goods or services as referred
to in Chapter 5, Section 1, Section 1 of the Cooperatives Act (421/2011) ordinary shares."
106
The deductibility of interest expenses is regulated in Section 58 TVL.
27
3.3 Obligation of a third party to provide information
3.3.1 Background and starting points
In addition to information obtained from the taxpayer himself, it has been deemed necessary to collect information
also from third parties. The procedure is justified by the better reliability of information provided by a third party compared
to information provided by the taxpayer himself107. Disclosure obligation of the third party
the win is considered to be divided into a general and a special notification obligation108. The regulations regarding the
third party's obligation to provide information are in Chapter 3 of the VML, more specifically in Sections 15-25109. Li
In addition, the Tax Administration has given VML several reporting obligations based on the VML's delegation regulations
decisions concerning the mouth, for example VHp related to international information exchange on the notification
obligation based on the FATCA agreement110 and VHp on financial accounts
on the notification obligation111.
The historical starting points of the third-party reporting obligation are as old as the above
reporting obligation of the liable taxpayer. Weather that is subject to notification on the side
In some cases, tax laws have included the obligation to declare income in municipal taxation
from this law and the first income and property tax laws. Obligation to inform
the starting point has been the control of the implementation of the reporting obligation imposed on the taxpayer
promotion and prevention of the tax deficit due to lack of declarations.112 From an economic theory, the outsider
the notification obligation can be justified by preventing the phenomenon of free travel. The phenomenon vii
we guarantee a situation where an individual basically accepts the tax norm, but processes the tax
in a way that seeks to avoid payment in order to maximize one's own benefit.113 The matter can be il
adapt the terminology of economics in the following way: rational taxpayer
takes into account public fairness related to the payment of taxes in his decision-making
den, the absolute value of violating or complying with the legal norm, the magnitude of the risk of being caught and the
significance of the sanction.114 The taxpayer relates these four elements without declaring
107
See e.g. HE 131/1995, p. 13.
108
See Räbinä et al. 2017, pp. 135 and 142.
109
The third party's reporting obligation is also regulated in other tax laws, for example in the Act on Self-Initiated Taxes Taxation Procedure
(768/2016) and the Real Estate Tax Act (654/1992).
110
Tax Administration 2015.
111
Tax Administration 2016b.
112
Lohiniva-Kerkelä 2003, p. 168.
113
Ibid. p. 102.
114
This is how Juusela 1998, p. 114.
28
to the benefit arising from leaving, which in most cases will be expressly ta
natural. Other areas of human activity are also in favor of the bystander's disclosure obligation
you do. For example, a typical platform economy income earner has been shown to be occasional side income
acquirer and poorly familiar with income tax calculation rules and reporting procedures yk
virtuous person115. The position of a third party notification obligation thus has strong grounds as part of ve
race procedure.
3.3.2 The third party's general notification obligation
The third party's general reporting obligation arises when the conditions set by law are fulfilled
in the roads and it is realized as an obligation to hand over information to the Tax Administration without a separate request116.
On the basis of the obligation to provide information on the side, the Tax Administration receives income and expenditure of a mass nature
from, for example, employers, pension institutions, banks and insurance institutions. Information will be provided
with subsequent annual declarations or declarations given to the income register.117 Before tulore
kister's implementation of this information was commonly used as a term derived from the way the information was provided
measure the annual declaration information. From 2019 onwards, employer contributions have been announced
in installments to the income register, which has enabled the Tax Administration to be covered by the procedure
almost real-time access to information already during the current tax year. Incomes Register
reporting has been extended from 2021 onwards to also cover pensions and benefits. Thus
next to the concept of annual declaration data, the concept of income register data has emerged, both of which
refer to reporting in accordance with the general disclosure obligation.
The information obligation according to the Taxation Procedures Act is broad in content. VML § 15.1
the wording of the provision is written to be binding on everyone and therefore subject to notification
based on its wording or scope, the term is not limited exclusively to domestic spirits
I hit. However, the effective implementation and sanctioning of the provision can be considered prerequisites
permanent place of business located in Finland118. According to the general provision of VML § 15 "Jo
the person must provide the Tax Administration with the information necessary for taxation on his or her payment
about the pecuniary benefits, their corrections, recipients and grounds for the benefits."
In addition, "The information must be submitted to the Tax Administration, even if the performance was paid in advance
without delivering the service, or the service would have been paid or transferred to a limited taxpayer, or
115
Nieminen – Nykänen 2018a, p. 2.
116
117
See Äimä 2017, p. 196.
118
Räbinä et al. 2017, p. 136 and VM123:00/2019, p. 7.
29
the income in question would be tax-free for the recipient." The reporting party must give a deduction
relevant information, for example, on membership fees of trade unions, pension payments, etc
rogue. In addition to this, the third party's general notification obligation also applies to the notification of contract
and employee information in the construction industry, as well as notifications of wood purchases.119 Thus
having established earnings and capital income received by natural persons, such as for example
wages paid for work, proceeds from the sale of wood, gains from the sale of securities, received and paid
interest and ay membership fees are comprehensively covered by the notification obligation. Instead, share
The income generated in the mis and gig economy falls outside the fulfillment of the obligation in several situations
side120, in which case the relevant income and expenditure information cannot naturally be used for tax control
as support or as a starting point for a procedure based on a pre-filled tax return.
From the point of view of the sharing and gig economy, there are three essential aspects of the general notification obligation
and partially overlapping challenges, the first two of which are targeted at the national level
to legislation and the third to international situations. These situations are commonly recognized
in tax-legal literature and social studies dealing with the subject
in minna121. First of all, the wording of section 15 subsection 1 of the VML covers only those with monetary value
services paid or provided by a third party. Thus, based on the wording, the road
only a sharing economy operator who pays or
assigns monetary performance related to activities on the platform it maintains. Its
on the other hand, the obligation does not arise for such businesses that maintain the platform of the sharing and gig economy
for those who do not meet this definition. The content of the law could have been considered unambiguous and
it has also been interpreted in accordance with its wording.122 Thus, the notification obligation does not form ti
in the bank, where the party has information about monetary services paid by
a party other than the third party in question has been responsible for it or for providing it. Described situation
can be considered typical in the sharing and gig economy, where the exchange through the platform
transaction structures related to data can be arranged flexibly. Notification obligation
formation can be avoided, for example, by outsourcing payment traffic or the group's si
with an arrangement in which the sister, subsidiary or parent company of the entity that maintains the actual platform is responsible
on the implementation of transactions in their entirety.
119
Räbinä et al. 2017, pp. 136-141.
120
Despite the wide scope of the obligation, practice has shown that the Tax Administration has hardly received
annual notifications from foreign operators that offer sharing economy platform services in Finland without a fixed
place of business or a branch. VM123:00/2019, p. 6.
121
E.g. Nieminen – Nykänen 2018a, p. 29 ff. and Faehnle et al. 2016, p. 5.
122
VM123:00/2019, p. 6.
30
Another challenge of the general disclosure obligation in the context of the sharing and gig economy is related
to situations where the individual who produced the service is not employed by the electronic platform,
through which the other party orders the service. In this case, the bonus received by the person who performed the work
vaus is a salary or labor compensation paid by the party receiving the work performance123. If cor
vaus is salary or the person who performed the performance is not included in the advance collection register, the payer
of the compensation is obliged to report the performance to the income register124. Basically
the recipient of the service performance is also liable to withhold the work received
of the compensation paid for the performance, if it is work compensation and the recipient does not belong to
to the debt collection register. In practice, the situation is complicated by the Advance Collection Act
(1118/1996, EPL) the provision of § 9.3, according to which "Natural person or estate (home
economy) is not obliged to deliver withholding tax to the same recipient in the calendar year max
of set performances, unless their amount exceeds the amount set by the decree or if no performance
join the payer's business or other income-generating activities." Advance collection regulation
(1124/1996, EPA) according to § 13, the amount in question is 1,500 euros. Therefore, the minor and sa
in the case of a service purchased through a well-known sharing or gig economy platform, withhold an advance
obligation to pay does not arise, even if the compensation paid is not registered for advance collection
to receive work compensation. Despite this, the payment of compensation requires a general
making an income register declaration in accordance with the notification obligation125. Platform-mediated sharing
the concept of piecemeal work is associated with the subsistence economy, which refers to a large number of small income streams.
The reporting obligations of these individual seemingly insignificant incomes, related to them
with practical procedures, can appear as the person who ordered the services through the platform
nalta as complex. This may still have a negative impact on the appropriateness of notifications
to doing and the level of economic activity. 126
The third challenge related to the general disclosure obligation is the global nature of sharing economy platforms
character. A significant part of the providers of these platforms originate from outside Europe, mainly
from the United States and China. The general disclosure obligation of the sharing and gig economy platform
123
In this context, the tax legal issues related to drawing the line between the employment relationship (compensation for salary) and the
commission relationship (compensation for work compensation) will not be discussed in more detail. The subject is covered in the appropriate parts
in chapter 4.3.3 dealing with the relationship between light entrepreneurship and the sharing economy.
124
Tax Administration 2021a, section 5.15.
125 Ibid. section 5.15.
126
Faehnle et al. 2016 p. 5. See also Määttä 2019, pp. 148-149.
31
it is challenging to implement and supervise, if the platform service does not have a fixed operation in Finland
place or branch 127. The methods of international data exchange have been discussed above,
which the Tax Administration currently has at its disposal for the benefits received from the sharing and gig economy
to clarify the problem. Sharing and gig economy income typically consists of numerous transactions
of information that is apt to weaken the international information currently in use
exchange efficiency128. Expanding the information on income from the sharing economy to include the car
international mass data exchange that takes place systematically is thus a key improvement of the situation
in which the entity offering and purchasing services through the platform are both Finnish, but
the platform operates from outside the borders of Finland.
Efforts have been made to solve the challenges described above by specifying the reporting obligation. Tax
based on the delegation norms of the Fiscal Procedures Act129, the administration has the authority to specify and ra
merges the notification obligation of the third party according to VML with separate decisions, the most important of which is
The Tax Administration's decision on the general reporting obligation (TiedVelvVHp). The decision is given
per tax year. Section 20 of the decision specifies the mediated transport service and leased
the notification obligation regarding loja, also in terms of platforms belonging to the sharing economy;
§ 20.1 defines the information to be given on transport services and § 20.2 on rental income.
According to Section 20.1 of the Tax Administration's decision on the general reporting obligation, "Traffic
the benefit of the intermediary service provider referred to in the Act on Services or its presence in Finland
the customer must report the known compensations that the transport service providers have received
of the transports it provides." The reporting obligation in question is connected to the traffic service
to the notification obligation of § 15.2 of the Act on Bones (320/2017), according to which "The Mediation Service
the tenderer or its representative in Finland must notify the Finnish Transport and Communications Agency in
then, by the end of January, the total sums of its known compensations which
transport service providers have received it from the transports provided, unless the information in question is
available to the authority on the basis of a corresponding notification made to the Tax Administration." I know
the emergence of the duty does not therefore require the payment or transmission of the performance, but
mere awareness of this performance constitutes an obligation. According to the preliminary works130 of the law in question
127
VM123:00/2019, p. 6, see also Räbinä et al. 2017 p. 136.
128
See Nieminen – Nykänen 2018a, p. 32.
129
e.g. VML § 15.8 and § 16.5.
130
HE 161/2016, pp. 141-142.
32
the purpose of the obligation is to promote the possibilities of the tax authority to monitor the transport service
the amount of compensation reported by the providers to the tax authority and to make sure that the tax
obligations have been duly fulfilled. According to the wording of the law, the scope is included
the situations are thus broader than the paid and intermediate referred to in the general rule of VML § 15.1
performed performances. Therefore, § 20.1 of the TiedVelvVHp on the general obligation to provide information
gets its rights from Section 15.2 of the Transport Services Act. However, the focus does not resolve for foreigners
the problem of supervision and enforcement related to the platforms, if transport services are provided
that platform does not have a representative in Finland.
Section 20.2 of the decision on the tax administration's general notification obligation expands the general il
the obligation to reprimand applies to the ship that offers Brokerage services for rental properties
toja131. Subsection 2 differs from the above-discussed § 20.1, however, in that its legal
the nature is specified exclusively by the provision of VML § 15.1. TiedVelvVHp according to § 20.2
the provider of the brokerage service or its representative in Finland must report what they know
payments that the lessor has received from conveying the apartment, real estate or them
part of the rental. Because that section 20.2 is given as the basis for the delegation norm of section 15.9 of the VML
tea, it cannot expand the scope of VML § 15.1 as a lower-level norm. Tax Act
the starting point of the glove is an interpretation according to the e contrario, i.e. contraction, wording132. Analogous
expanding interpretation is basically prohibited133. According to the wording of VML § 15.1, inform
the obligation to pay applies to monetary services paid or mediated. Hence
Section 20.2 of the TiedVelvVHp cannot be considered, despite its wording, to obligate rental
platforms that offer services to provide the information mentioned in the paragraph solely on that basis
pretend that the platform has this information. There is also a challenge related to foreign platforms
similar to that described above in terms of that paragraph.
In summary, let's state that the general reporting obligation is effective from the point of view and accurate
appropriate form of information access. A general notice provided for in the Taxation Procedures Act
131
According to Section 1.1 of the IlmVelvVHp, the Tax Administration limits the provision of the information referred to in Section 15 and
Section 18, Subsection 6 of the Act on Taxation Procedure and Section 30, Subsection 1 of the Transfer Tax Act, so that the reporting party
must notify the Tax Administration, without a separate prompt, only of this decision 2 – The information referred to in § 20.
Section 20 concerning mediated transport service and rental income has been included in the decision for the first time on 3 December 2019.
See also VM123:00/2019, pp. 4-6.
132
Juusela 2018, p. 450.
133
Wikström et al. 2015, pp. 34-37. For the interpretation of the tax law in favor of fundamental rights, see also Urpilainen 2014, p. 389 pp.
33
However, in its current scope, the duty does not cover a significant part of sharing and gigging
from the income generated on the cat farming platforms. Along with this, income from the sharing economy is fragmented
ness increases challenges to the proper implementation of notifications in situations where parties
are parties with little knowledge of their own obligations and the details of tax legislation. Sharing
the global nature of the economy also causes its own challenges for the implementation of the obligation and the
for Vonna.
3.3.3 The third party's special notification obligation
The party's special notification obligation refers to the obligation to submit to the Tax Administration
explicitly requested information about other taxpayers, related to the Tax Office
zero individual matter under consideration134. Modification of the legal basis of the obligation
dosta VML § 19. According to the law, "Everyone must give at the request of the Tax Administration
based on name, bank account number, account transaction or other similar identification
toja135, which may be necessary regarding the taxation or appeal of another taxpayer
van for the processing of the case and which are clear from the documents in his possession or otherwise
are known to him, unless he has the right to refuse to testify on the matter according to the law.
However, information regarding financial status that affects taxation may not be refused
from there."
There are two key conditions for the emergence of a special notification obligation. First, knowledge
the request must concern a concrete matter or set of matters under consideration. Second
the subject of the request for information must be identified with sufficient accuracy by means known to the Tax Administration
with moths. In addition to these conditions, the obligation to provide information only covers information that
which the third party possesses. Consequently, a third party cannot be required, based on a special obligation to provide
information, to obtain such information that it does not already have.136 The possibility pi
is bound by the right to refrain from providing information other than financial status
I refuse to testify in a case that refers to the legal proceedings (4/1734, OK) 17 lu
to Sections 20 and 23 of the Act137. In contrast, appealing to the lack of information does not automatically
134 Äimä 2017, p. 215.

135
Section 19 of the VML corresponds in content to Section 47 of the tax act (482/1958, VerL) that preceded it. HE 336/1994
concerning the amendment of the relevant legal section contains justifications for the need to expand the acceptable identification
information in addition to the taxpayer's name. See also
Äimä 2017, p. 216. 136 Äimä 2017, p. 216.
137
Based on the mentioned law, for example, a close relative has the right to refuse to testify. Financial
however, it is not possible to refuse to provide information about the status. Räbinä et al. 2015, p. 144.
34
lead to exemption from the special notification obligation138, but necessity is determined
According to the wording of VML § 19. Knowledge does not have to pass objective necessity
assessment, but it is sufficient to request from the party regarding the financial status of the taxpayer
the information may be necessary in the processing of another taxpayer's case. This possible need
The Tax Administration is responsible for determining liability based on official responsibility139. A typical special road
the usage situation of the donation obligation is a tax audit, in connection with which you ask the banking institution
account information of the taxpayer140.
Based on VML § 19, the tax administration cannot receive mass data from, for example, a bank
for cash transfers that exceed certain limit values and meet certain account conditions141. Special information
the meaning of the obligation to give can be described as case-specific or point-like. Efficiency
kuus is also emphasized in international situations. With the contractual and directive basis discussed above
the second exchange of information has an association with a special notification obligation. For example
Because of FATCA and CRS, previously strong bank secrecy has given way to information exchange Kiel
as a basis for fulfillment142. A position has also been taken in the court practice of the European Union
on behalf of the reporting obligations imposed on credit institutions, the effectiveness of tax supervision var
to match143.
The strength of the special notification obligation is its wide scope144. It helps the Tax Administration
can have access to all the information available in Finland about the woman's financial status in terms of an
individualized tax matter145. Formation on sharing and gig economy platforms
in terms of foreign income, the special notification obligation according to VML § 19 is individual
usable during breaks. The transaction-intensive nature of sharing and gig economy platforms
therefore, the importance of the special disclosure obligation in the acquisition of this income information is extensive
on the other hand, the scale is quite small. There is also always a special reporting obligation
138
Limitation can be sought from the decision KHO 2016:127, which dealt with the obligation of an operator who engaged in
consulting to submit to the Tax Administration a memorandum on the value added tax of its client. According to the reasoning
presented in the decision, there was no obligation to hand over the memorandum based on a special disclosure obligation,
because the nature of the memorandum is an assessment of the tax treatment and does not in itself constitute a basis for taxation.
The decision also refers to Section 17:13 subsection 1 of the OK regarding the legal representative's duty of confidentiality.
139
140
Several thousand requests for information like this are made every year. Myrsky – Räbinä 2015, p. 185.
141
See Räbinä et al. 2017, p. 144.
142 Äimä 2017, p. 218.
143
See judgment in case C-522/14, Spargesse Allgäu v. Finanzamt Kempten.
144
The scope is also ambiguities. For example, in some tax audits, former employees of the target company have also been
interviewed, from whom the applicability of the information obtained from the point of view of tax supervision in order to obtain
correct information has been questioned. Äimä 2017, p. 216.
145
Juusela 1998, p. 213.
35
secondary in relation to the general notification obligation146. Access to information pursuant to Article 19 of the VML
rust should only be taken if sufficient information has not been received from the taxpayer himself or the general public
with the procedures of its reporting obligation147. In addition, to fulfill a special notification obligation
input is comparatively laborious, as it requires advance information from the Tax Administration
on the basis of an individualized request for information, after which the party must compile the information and send
throw them in an appropriate form148.
The importance of individualized information requests in the sharing economy has mostly been described as preventive
as a result, which is based on the willingness to report the existence of a special notification obligation, li
to a favorable effect149. Based on information presented in the media, popular P2P commodity exchanges
Platforms focused on data have handed over information to the Tax Administration in response to the individual
for information requests about once or twice a month150. The information requests in question have been based on tips
received by the Tax Administration151. In summary, it can be stated that there is a special reporting obligation
mouth to be an effective tool for investigating the individual and limited aspects of the sharing and gig economy
income tax matter related to the platforms. However, its actual purpose of use is in automation
supplementing received mass data152, not obtaining mass data.
3.3.4 Comparative information check
In the submission of the taxpayer's taxation, such information can also be used which
have arisen from a tax audit or other tax supervision directed at a third party
in connection with. In addition to this, the Tax Administration has the opportunity to carry out a comparison data audit,
the specific purpose of which is to collect comparative information about other taxpayers
go. To implement it, the general procedural regulations regarding tax audits apply,
including preparing the comparison data audit report to be delivered to the target of the audit
where from. The comparative data inspection was made part of the selection of data acquisition methods on 1 April 1994, vol
with the country's regulation, when the current tax law (482/1958, repealed) was added to the then
43 b §.153 corresponding to the content of VML § 21
146
The priority order is confirmed in the decision KHO 2016:127. The first to receive information from the taxpayer himself
see Report issued for the board's proposal HE 336/1994 VaVM 98/1994, p. 2.
147
This is how Isomaa-Myllymäki – Lilja 2018, p. 394.
148
Ibid. see also Juusela 1998, pp. 208-209.
149
150 YLE 2018.
151 Ibid.
152
Nieminen – Nykänen 2018a, p. 30 and Äimä 2017, p. 216.
153 Äimä 2017, pp. 236-237.
36
The strength of the comparative data check can be considered to be its usability for mass users
for the acquisition of information in situations where the Tax Administration has not made an individual information request
necessary advance information. Since 2011, legislation has enabled ver
conducting a skill data audit also in credit and financial institutions154. Thus, comparative information
with the audit, bank account information can be obtained not only from identified parties but also from unidentified
taxpayers155, for example on the basis of money traffic coming from a specific payment source156. According to
statistics published by the Tax Administration, in 2018 I will live on a short-term basis
about a third of the taxpayers who received income from non or renting real estate did not do so
unreported income. Correspondingly, the mass comparison data for 2017 on Fri
Ruste found about 1,000 taxpayers who had neglected their reporting obligations
from the income received through the Uber platform that mediates transportation services. To credit and financial institutions
due to their mass nature, comparative data audits can be considered ahead of the curve
a more efficient way to get information than the individualized request for information is the sharing and gig economy
about the economic activity taking place on the platforms. 157
There are also other significant challenges associated with comparative data audits. Benchmarking
the implementation is laborious compared to the way that takes place on the basis of a general notification obligation
until 158 It is a multi-stage process during which the subject of the inspection
existing credit or financial institution compiles the information contained in the invitation to submit and delivers it to IT
154
The change was implemented by repealing the provision of VML § 21.2, which, when in force, limited the Credit and Finance Act
you are excluded from the scope of the comparative information audit due to bank secrecy. HE 122/2010 p. 14. 155 Äimä
2017, p. 194.
156
However, the tax administration's ability to access mass data based on VML § 21 is not unlimited, which is clear from decision KHO 2020:8. The tax administration had
asked the bank to present, among other things, a list of all its customers. Referring to the European Union's data protection regulation, the Supreme Court considered that such a
request for information was not in accordance with the law and the Tax Administration's request decision was annulled. In the reasons for the decision, it is also pointed out that
there was no attempt to limit the request for information regarding the entire register to those customers whose information can be assumed to be necessary for the implementation
of tax supervision. Although the application of Section 21 of the VML does not require a similar context to the procedure based on an individual request for information in Section
19 of the VML, the decision in question imposes a requirement on the Tax Administration to demonstrate the necessity of the information presented to be provided in the
comparison data inspection from the point of view of tax supervision. On the issue of the tax administration's access to information based on Section 19 and Section 21 of the
VML, see also Weckström 2017, section on the right to refuse to testify and its effect on the duty to inform, pp. 157
YLE 2018 and YLE 2019.

158
Toisin Äimä 2017, pp. 240-241. If the starting point is to receive the same information, the annual reporting procedure can be
considered simpler in the context of the sharing economy, in my view, due to the nature of the data and the electronic operating
model of the platforms.
37
for analysis by tax inspectors159. The processing of the delivered material takes place, for example, using data
mining methods with text analysis160. The comparative data obtained in the inspection are used as follows
accordingly, cross-checks are presented as a support for supervision and as a goal in the preliminary work of the law
systematization and disclosure of abuses. In addition, the aim is to enable the tax
the targeting of control measures to those taxpayers for whom there are grounds to suspect tax
committing fraud.161 According to the instructions of the Tax Administration, when comparison or monitoring
information deviates from the taxpayer's declaration, it must be clarified what caused the deviation162. Natural ones
from the point of view of the persons, this could be considered to mean the results based on comparison data
an increase in the number of requests for income from the sharing and gig economy. Above ku
in situations like the reported deficiencies, this would mean thousands of clarification requests
sending and clerical processing of the reports given in response. Comparison
the benefit achieved by information audits is therefore indirect and its achievement requires administrative
measures from both the Tax Administration and the subject of the audit.
In addition, the comparative information is one-time and can be obtained with a single inspection
the way of the taxpayers who only receive income through limited sharing and gig economy platforms
dot. As mentioned above, the inspections of credit and financial institutions are carried out by you
particularly useful for obtaining comparative information that concerns individual, strong
revenues from platforms with a market position. However, it is for the sharing and gig economy
typical is the variety of platforms, due to which an individual taxpayer can receive income including
temporarily through several platforms. Compared to the general disclosure obligation, the comprehensive road
therefore, obtaining the certificates would require several and systematic annual comparisons
data checks. The accuracy of the obtained data can also be questioned by bringing up il
my targeting problem. For example, a situation where one of the spouses receives a
to the bank account jointly managed by the lisis through sharing and gig economy platforms syn
stagnant income, cannot be considered atypical or even impossible. The aforementioned
In addition, the challenge of comparative data inspection is obtaining data in cross-border situations. Ver
however, in this respect, the aptitude test could be considered a more effective tool than
access to information based on an individualized information request.
159
Verohallinto 2014b, section How is comparative information audit implemented in practice? 160 YLE
2018.
161
HE 336/1994, pp. 7 and 10.
162 Tax Administration 2019b, section 6.7.
38
3.4 The importance of automation in achieving the Tax Administration's efficiency goals
Automation of taxation became a strategic goal of the Tax Administration in the early 1990s.
The development can be considered to have started with the punched card machines put into use in 1947 and continued with
the use of computers from 1961 onwards163. Technology and above brochure
The development of the third party notification obligation made it possible for the taxation proposal procedure
from the tax year of the transition in 1995164. The transition was started with a scope of 358,000 taxpayers
with an experiment that included a list, the results of which showed that the procedure, on the one hand, reduces the tax liability
trouble for the tax payers and, on the other hand, to produce cost savings for the Tax Administration. From the year
In the taxation submitted in 1996, the taxation proposal was sent to 1.6 million taxpayers
and at the turn of the millennium, the number rose to 3 million customers, corresponding to 80% of employees and
pensioners165. The next significant reform took place in 2006, when the tax
the proposal procedure was switched to a procedure based on a pre-filled tax return and
at the same time, the obligation to send vouchers was waived166. Later developments in information technology
in the field has happened, for example, in the unification of information systems and the use of the income register
in commissioning, which have strengthened the capabilities of automatic data processing167. This Wed
the hit can reasonably be expected to continue. The state of will of the future has been described in Verohal
in the operation and financial plan drawn up by the castle for the years 2022-2026, the recipients of earned income
and for those who receive income from several places168 as follows: "In the target state, the customer's transactions
the need with the Tax Administration has been minimized, for example by removing the need from the customer for income and
for reporting deductions. In the future, the information needed for taxation would come to the Tax Administration
directly through service providers and third-party advertisers via software interfaces.
The customer himself would only have the obligation to check his own information and pay whatever
remains to be paid." In addition, it is stated that "In target mode, the Tax Administration is for personal customers
invisible". The goal for the self-employed customer group is to offer a reporting system
jestely, which enables tax-related transactions to be handled in the partner's channel.
In addition to customer group-specific goals, the Norwegian Tax Administration's aim is to reduce in the future
163
Tax Administration 2022a.
164
See HE 131/1995, p. 1 pp.
165 Tax Administration 2022a.
166
HE 91/2005, p. 1 ss.
167
HE 134/2017, p. 1 pp.
168
The tax administration's largest customer group consists of approx. 5.4 million people with earned income. Those who receive income from many
places make up a customer group of approx. 1.5 million people who, in addition to earned income, also have capital income. Tax Administration
2021, p. 9.
39
in the so-called mandatory to do169 by increasing the automation of taxation work and with solutions that lead to the
handling of customers' tax affairs in automation. 170
The content of § 26.6 of the Taxation Procedure Act creates the basis for the utilization of automation.
According to the provision, "When submitting taxation, the tax authority must examine the information it receives
and reports in a way that the quality, scope, uniform treatment of taxpayers and ve
taking into account the needs of rosupervision, it is justified." The benefit of automatic data processing
dunning has been brought up in the drafts of the law and the intention of the legislator was that everyone
the taxation information of the taxpayers would be examined by machine, and in addition, the tax authorities would examine it
based on the selection, a part, for example 30 percent of the material, in more detail in the case-by-case
processing171. The goal is therefore to enable a mass taxation procedure
nen, where the vast majority of tax declarations are processed in automation and prioritized by personnel
work contribution to the processing of fiscally or otherwise justified essential cases172. this is
justified and partly necessary, because the Tax Administration has more than 15 mil
draw a decision173. It is a special provision taking into account the special features of taxation, which specifies the
duty to investigate the case according to § 31 of the Administrative Act (434/2003, HL)174.
The Tax Administration's instructions175 on the principles of submitting taxation states :
"According to section 26 subsection 6 of the VML, the tax authority can handle different matters in a different way and
select some issues for further investigation and deal with other issues more summarily. The regulation allows for
automated examination of taxation data176. Data is subject to pre-defined
these uniform selection criteria, when fulfilled, issues arise for further investigation.
The selected matter will be investigated by the tax authorities, if necessary, relevant documents will be requested and
169
Mandatory action refers to measures that the Tax Administration is forced to take in order to deliver the tax and to correct errors and
illogicalities in the customer's information. In practice, it is about technical taxation work. Tax Administration 2021b, p. 14.
170
In the operating and financial plan, sole proprietorships mean all companies engaged in business activities and entrepreneurs who do not
employ outsiders to a significant extent. The size of the segment is approx. 676,000 customers, as it consists of business name and light
entrepreneurs, limited companies, primary producers and new companies. Therefore, this group also includes people who receive income
through sharing economy platforms. Tax Administration 2021b, p. 10.
171
HE 91/2005, pp. 16-17.
172
Myrsky – Räbinä 2015, p. 246.
173
The chapter includes all tax-related decisions made by the Tax Administration, not only this study
decisions within the scope of limitations. Tax Administration 2022b, section Automatic decision-making in taxation.
174
Myrsky – Räbinä 2015, p. 246.
175
Tax Administration 2019b, section 2.3.
176
In fact, prioritization based on fiscal significance has long been a part of the taxation procedure even before the amendment of Section 26
of the Taxation Procedures Act. Thus, the acceptance of the prioritization practiced in the execution of taxation was not solely influenced by
the transition to an electronic procedure, but the old way of operating was subsequently blessed by a change in the law. Iivonen 2011, p. 215.
40
further investigations and the matter will be resolved." In addition, it is stated that "The aforementioned provision does not, on the other hand
prevent the Tax Administration from being able to examine the taxation of any person in order to deliver the taxation correctly
the matter in detail. The selection criteria are to be kept secret." The tax administration applies
interpretation in their operation, according to which they are a prerequisite for the solution to be made in automation
the relevant specific legal provision, the instructions given in the procedural guidelines and the decision
its nonjudgmental nature. Thus, automation is suitable for situations where taxation
is for undisputed income and other taxation information, statutory tax scales and others
mechanical calculation based on tax bases and rules177 . Tasks in automation
solutions are not used for self-learning artificial intelligence applications or statistical or road
logic based on artificial modeling.178
In practice, this means a procedure in personal income tax where a car
mation creates and sends a pre-filled tax return. The announcement is marked as general
received from third parties covered by its notification obligation, as well as possibly other en
the income and deduction information settled in cash. The taxpayer is responsible for the pre-filled tax return
correcting or supplementing the information, if he notices errors in it. If the notification does not
be selected based on predefined selection criteria for clerk processing, head of taxation
The work consists entirely of the tax declaration pre-filled in the automation system and max
on the basis of additions and corrections that have been made. The decision is sent to the taxpayer. 179
There is no pre-filled form for business income for entrepreneurs and professionals
tax declaration. A business tax return duly submitted to the tax administration
however, automation can be used in the processing in a way similar to natural
even in the case of a pre-filled tax return of a person or estate. If taxation is carried out
in its entirety in automatic processing, individual legal questions are not
formation of a specific position. This is important, for example, when evaluating VML 26.2
formation of trust protection according to §180.
177
The conditions for automatic processing have also been strengthened by increasing the formality of the legislation. This has been done, for
example, in connection with HE 29/2016 and HE 97/2017 by changing e.g. penalty payment regulations in a form better suited for automatic
decision-making. AOA 3379/2018, p. 4.
178
Tax Administration 2022b, section Logic of automatic decision-making. See also Räbinä et al. 2017, pp. 182-183.
179
Tax administration 2020, section Income taxation pp.
180
Tax Administration 2021c, section 3.5.2. The Tax Administration's instruction in question refers to the government's proposal HE 29/2016 p.
28. According to the proposal, "the correctness and permanence of decisions made in a mass procedure cannot be subject to the same legitimate
expectations as the decision made in the handling of an individual administrative case."
41
The tax matter is handled by the clerk if the selection criteria are met or if the matter cannot be dealt with
due to nature or other circumstances to be processed in an automatic procedure. General menus

conditions can be, for example, the quality, scope of the matter, the euro of the income or deduction claim
sei
cat. The selection criteria can also be based on the equal treatment of taxpayers
ascertainment or pure random sampling.181 The implementation of legal protection of the taxable person
it is not necessary to mention the tax for the selection and the subsequent official processing
by the taxpayer's tax decision182. However, the selection is up to the taxpayer
can be concluded if the clerk has to contact the taxpayer to clarify the matter. Va
the basis of the licensing conditions are the 183 confidential184 information referred to in section 24.1, paragraph 15
of the Publicity Act (624/1999) .
In addition to clerk processing based on selection, the matter is also processed manually when
when it cannot be solved by means of automation. However, mechanical data processing is possible
utilize to find such cases. Thus, the reasons for the need for a clerk hearing
may overlap. Typical situations are, for example, conflicts between taxpayers
between the information you provide and the information obtained based on a third party's obligation to provide information. The official
is also partially responsible for the unjustified deduction claim presented by the taxpayer
or complete rejection and consultation of the taxpayer in accordance with VML § 26.3, if ve
the information given in the ro notice is deviated from. 185
Automation and its development are of increasing importance in the future of the taxation procedure.
The complexity of taxpayers' income structures and the unusual earning pattern
the increase in the amount of data processed by the Tax Administration will increase and I will analyze it
to the increase in the need for tea186. Effective use of the mass of data used as a basis for tax decisions
181
182
Myrsky – Räbinä 2015, pp. 249-250.
183
HE 91/2005, p. 17.
184
The secrecy of the selection criteria cannot be considered a completely unambiguous matter. For example, the subsequent
disclosure of an individual selection condition to the selected taxpayer cannot be considered to endanger the performance of taxation
in accordance with the rules. The advance disclosure of individual selection rules could, in turn, strengthen the objectives of tax
supervision by increasing the willingness to report. In a similar way, the notification given by the police about the newly enhanced
traffic control works. The principle also applies to income received through sharing economy platforms.
See Iivonen 2011, p. 202 pp.
185
186
VM 2021, p. 2 and Tax Administration 2021b, p. 3 ff.
42
keeping up is not a realistic goal without enhancing automation or human staff
increasing the work resource187. The need for automatic decision-making and its development is vas
also common in several other public administration sectors. Edge conditions for automatic decision-making
In recent years, there has been an active discussion about it, the manifestations of which include, for example
the critical statements of the supreme legality supervisors and the Constitutional Law Committee tax, social
on the constitutionality of the decision automation of the security and immigration administration188. Justice
nisterio's current general legislation on automatic decision-making is ready
telu189 is partly the result of this legal debate. Automatic decision-making Fri
the question of legal compliance in taxation has been raised, for example, by the deputy ombudsman
hen's decision EOAK/3379/2018, where, according to the position presented, "...automatic head
making a push might affect the individual's rights and obligations to such an extent that they don't ask
The obligation to investigate is regulated by section 26 subsection 6 and section 9 is not a sufficient right
basis for the Tax Administration's automatic decision-making"190.
The role of ever-developing automation as part of public decision-making and, for example, decision-making
liability issues are therefore the subject of active discussion and unfinished legislative preparation191. The legal situation
can be described as unclear, which poses challenges for expanding the scope of automatic decision-making192. Several
interests can be distinguished from the subject area
sia and questions that deserve detailed examination, but due to the limitation of the study
these points of view will not be dealt with in this context more extensively than presented above193. Based on DAC7
the information obtained is examined in the light of the principles on the basis of which the Tax Administration determines
At the moment, the situations in which a tax decision can be formed by automation means life
in the income tax of the individual customer.
187
In the operational and financial plan drawn up by the Tax Administration for the years 2022-2026, it is stated that tightening the target level
of personnel workload over a longer period of time is not possible without lowering operational requirements and objectives. In the same context,
more significant personnel reductions are considered to require legislation on the promotion of automatic decision-making. Tax Administration
2021b p. 28.
188
Koivisto – Koulu 2020, pp. 798-799.
189 VM003:00/2022 AOA
190
3379/2018, p. 34.
191 See VM003:00/2022.
192
Tax Administration 2020, p. 1.
193
For the problem of automatic decision-making in the public administration, see e.g. Koivisto – Koulu 2020, p. 798 pp. Hir
vonen 2022, p. 386 pp. and Sankari et al. 2022, p. 185 pp.
43
3.5 Information needs based on law preparation and interview material
3.5.1 Legislative preparation VM123:00/2019
In the preparation of the Ministry of Finance's regulation VM123:00/2019194, it was about payment
on expanding the notification obligation to also cover situations where payment is not made
go through an intermediary. The central problem that influenced the background of the legislative preparation is therefore
performing the information access and information access criteria discussed in section 3.4 of this study
with challenges. Along with the shortcomings of the general disclosure obligation, for the opinion round eh
In the present draft, the government's proposal also includes other essential information sources
perspectives related to production and utilization. To avoid duplication in the following
the presentation draft will be discussed only in these parts.
With the implementation of the legal project, a new § 15 f would have been added to the Taxation Procedures Act, whose 1 mo
ment, "Rental, work performance, transport and other services as business activity
or otherwise, for the purpose of obtaining income, the person who transmits it must provide the Tax Administration with information about the income
about the payments received by the recipient and their basis, insofar as this information is information
with a duty to pay." and according to subsection 2, "The Tax Administration issues more detailed regulations
vista about the information, the time and manner of providing the information, and the right not to provide it here
information referred to in the section in situations of financial or tax control importance
very little.” Therefore, the goal has been to expand the reporting obligation to
also those platforms that do not themselves provide or pay for the performance related to the service, but have access to
the information in question195. The new section 15 f was supposed to enter into force on January 1, 2021,
but the legislative preparation was combined with the legal project that came to be prepared in 2021.
The reason for the postponement is the progress of the EU and the OECD in the reporting obligations of the platform economy
in the preparation of the regulation. The situational description of the draft presentation is comprehensive and still in key parts
topical.
According to the draft of the presentation, it is especially wanted to cover the reporting obligation for platforms
what happens with it regarding the provision of transport services, work performance and other services as well as
194
In this subchapter, the draft document dated 23 December 2019 contained in the legal project VM123:00/2019 is used as a
government proposal to change the law on taxation procedures into a law, using the expression "draft proposal."
The code of legal preparation VM123:00/2019 is used as a source reference.
195 VM123:00/2019 p. 1.
44
income from the short-term rental of the apartment196. Among the aforementioned, income from renting apartments
and transportation services is considered the most important197. In the presentation draft
rental activity refers to everything from flats and real estate brokers for rent
iron regardless of the object's intended use. Therefore, it is not important whether the
rattu apartment, real estate or part of it in nature, for example a warehouse or a residential or commercial building
item used in it. Rental activity also refers to the renting of other facilities, such as for example parking spaces and the
leasing of movable property.198 Presentation
in the draft, leasing is thus given a very broad scope of application. Given by the tax administration
however, according to the statement, the notification obligation of the planned law change would be limited as follows
with regard to income, by the decision of the Tax Administration and "...for example, the rental of vehicles or other
movable property would not, at least initially, be covered by the third party's reporting obligation."199
Based on the draft presentation, transport must also be understood broadly and it has been considered that it includes
both passenger and goods transport services.200 In mediated work performance, the notification
it has been deemed necessary to limit the situations in which the person performing the performance is outside the scope of the request
in an employment relationship201 or in an assignment relationship202 to the platform. Instead, the sale of goods, peer law
their mediation and the collection of crowdfunding are limited outside of the disclosure obligation
lelle203. In connection with the trade in goods, it is stated as a basis that this kind of extensive activity is
generally carried out by accountants and subject to VAT liability,
in which case the risk of neglecting the reporting obligation is lower. It is further stated that
"Regarding the sale of goods, the necessary information content from the point of view of taxation would also be another's
of the law compared to information about services." 204 For example, these differences are sold
costs that are estimated to be higher for the seller of the goods compared to the service
to the seller. The goal expressed in the draft presentation is to make such income mandatory to declare
den, which are otherwise risky for non-reporting. The tax administration's estimate mu
196
VM123:00/2019, p. 9.
197 Ibid. pp. 5-6.
198 Ibid. p. 12.
199
200
VM123:00/2019, p. 12. 201
Ibid. p. 12.
202
In the draft presentation, only performance performed in an employment relationship is limited outside the notification obligation. However,
the Tax Administration's response to the request for an opinion states that "According to the Tax Administration's view, the obligation to provide
information would also not apply to situations where the service provider is in a commission relationship with a platform that mediates services.
In these situations, it's not about passing on a service." Tax administration 2020 p. 3.
203
VM123:00/2019, p. 13.
204
Ibid. pp. 3 and 9.
45
the digital economy's tax gap is also created through the aforementioned sharing economy platforms
along with products from domestic and foreign online stores and virtual currency
from the store. The Draft Proposal in question is presented as one of the measures aimed at combating the tax shortfall
related to Digita 205.
Along with the deliverables covered by the extension of the notification obligation, in the draft presentation
procedures related to providing information are identified and justified. Obligation to provide information
This would basically apply to information that the operator already has for some time
i guarantee. However, based on the draft presentation, the situation is not excluded where the reporting obligor
line would have to acquire such information falling within the scope of the obligation, which it does not already have in its
possession.206 On the other hand, the draft presentation also reveals the question of when the platform
may be deemed to be aware of these facts. As an example of the information held by the platform
the situation described above is also used, where the compensation to be paid for the performance does not matter
a subsidiary of the platform or an external subcontractor is responsible for this. The platform has been considered to be the road
the second of the amount of the compensation paid, even when the recipient pays the compensation sum
raa to the author and the fee collected by the platform is determined as a proportional share of the amount of these
compensations.207
According to the draft, the new VML Section 15 f would enable the Tax Administration to issue more detailed instructions
about Taminen's reportable information. Reportable rental income and transport services
information would include the notifier's identification information, the type of income (rental activity or transport service),
identification information of the payee, the account number related to the paid compensation, the renter
item identification information, the gross euro amount of the performance, information on the amount of commission collected
by the broker, the net euro amount billed and the identification information of the time208. The information listed above applies
mentioned services, but they can be considered to describe essential information about other things as well
financial activity on the platforms. Based on the draft, the need for information above
applies to actors within the scope of Finnish taxation authority, i.e. both generally and limitedly
to taxable persons209.
205
VM123:00/2019, p. 11.
206 Ibid. p. 11.
207 Ibid. p. 14.
208 Ibid. p. 5.
209
Ibid. pp. 5 and 9.
46
The reporting obligation would only apply to business activities or other income-generating purposes
platforms maintained in it. Regarding the actors bordering on the outside, it can be stated that purely har
services provided as a brokerage activity would be excluded from the reporting obligation210. Industry-
, The drawing of the line between income-generating and hobby activities in taxation involves a legal document
a problem that has been repeatedly dealt with in 211. Therefore, the limit according to the draft presentation
the veto would expose the formation of the notification obligation in borderline cases to the case-by-case interpreter
to nanvarness.
In addition to the content of information and the extent of the disclosure obligation, a position is taken in the draft presentation
the usability of the data collected from the platforms in terms of the Tax Administration. Goals are key
in this way, technical solutions supporting automatic data collection and tax control are emphasized
suje and enabling the development of automation that makes handling tax matters easier212.
In the initial phase, the information obtained from the platforms would be used to support supervision213, which in practice
could mean comparing the information obtained from the platforms with the information provided by the taxpayer. Road
exporting data directly to the pre-filled tax return is highlighted as the next step
as a tea room. Usability in pre-filling, however, requires the data to be of "sufficient quality214."
In addition, the information obtained based on the notification obligation could also be used by other ve
in the supervision of differences such as value added tax.215
The Tax Administration has issued a statement on the draft as part of the legislative preparation. There
the key positions presented have been taken into account in the above. In addition to this, the statement takes
takes a stand on some of the details of the draft presentation216 and it is stated that "The view of the Tax Administration
according to it, the proposed new Section 15f of the Taxation Procedure Act is necessary for the reasons mentioned in the
government's proposal."217
210
VM123:00/2019, p. 13.
211
See e.g. Tax Administration 2019c, Määttä 2019, p. 151 and Kulovaara 2015, p. 77 ff.
212 Ibid. pp. 8-9.
213 Ibid. p. 8.
214
The Tax Administration has anticipated in its statement on the draft proposal that pre-filling could be done first
most likely to advance in terms of rental income from apartments and real estate. Tax Administration 2020, p. 1.
215
VM123:00/2019, p. 8.
216
In addition to those discussed above, the statement states the following points: those who receive income from transport services are often
entered in the advance collection register and declare their income with a tax return other than a pre-filled tax return. I emphasize the notification
obligation according to VML § 7. A clarification is presented, which makes it clear that the reporting obligation fulfilled by the person registered
in the income register. The appropriate use of legislative collection numbers 1558/1995 and 1124/2019 is presented on page 2 of the draft
presentation.
217
47
3.5.2 Interview 1: sharing and gig economy reporting obligation
The first Expert Interview focused on the development of international tax information exchange,
DAC7 for reporting obligations and the Tax Administration's information needs for sharing economy platforms
from the income generated through The points raised in the interview are presented in chronological order
in jest218.
The theme of the first Question Group dealt with the rapid change of the platform economy environment and it
significance for the Tax Administration. General challenges were identified as getting information about new ones
phenomena and the potential threat of an increase in the tax deficit arising from it. Operating environment fast
the change poses, on the one hand, challenges for the Tax Administration in the implementation of supervision and, on the other hand, information
to the readiness of the taxpayers to act in the required manner. As general ones related to the subject area,
years in the interview, the anticipated increase in information access for the platform economy was emphasized
as a result of the reporting obligations. Those covered by the reporting obligation
it was considered that the need for information about essential activities was particularly targeted by taxpayers in general
to income from renting an apartment or real estate, passenger transport and selling goods
I was born. Except for the sale of goods, the perspectives presented by the interviewee are mainly the same
nevi with the challenges of accessing information discussed above.
H1: "...the challenge is specifically to get information about all kinds of new phenomena and their
from the income accumulated through
H1: "The risk is that the tax deficit will increase significantly in the coming years, if tax control
cannot be developed at the same pace. In preventing the growth of the tax deficit, Verohalli
securing access to information is key."
H1: "The rapid development of the platform economy makes it challenging to be able to
to date obligations related to taxation and, on the other hand, that the Tax Administration is able to
to ensure that the income is reported correctly."
H1: "And in addition, the Tax Administration will get a way from other states through the exchange of information
that can be used in tax control."
H1: "the fact that there will be more digital platforms and the most diverse things will be transmitted through them
services, if you can say so, will bring even more challenges in the future."
218
In this context, the interview questions are briefly described, the complete interview body is attached to the
study (APPENDIX 1).
48
In the interview, the next step was to discuss the operating models typical of the platform economy
the relationship between adaptability and the speed of change and the flexibility of the change directive.
The interviewee saw the directive as generally corresponding to the information needs of the current situation. Uncertainty
however, it is related to what kind of deliverables mediated through the platforms of the sharing economy, max
dolly in the future will be excluded from the directive's reporting obligation.
H1: "... maybe we can say that right now the reporting obligation set by the directive
you can probably cover the information access needs very well. After all, the directive covers certain essentials
activities for which information is collected and reported and it may be that something is left out.
Although now it seems that the most significant essential actions are involved, but
in the future, the situation may look different."
The third theme of the interview dealt with the changes required by the reporting obligation at the Verohalli
non, in terms of reporting platform operators and taxpayers. The answer came up
the centrality of the taxpayer's reporting obligation, but also the future goal of exporting
the information to be reported on the pre-filled tax return for those taxpayers who belong
to the scope of pre-filling. From the point of view of the tax administration, the reporting obligation means enhanced information
tia, on the basis of which an increased tax collection can be predicted. The tax administration's order
operate in such a way that automatic data exchange takes place within the required schedule
and data collected nationally and received from abroad can be analyzed and further useful
this as efficiently as possible. The conditions of the process must be taken into account by the information systems
in design and use.
H1: "If the information is later included in the pre-filled tax return of personal customers
tus, the submission of taxation is accelerated and at the same time it also makes it easier for the taxpayer
lists."
H1: "The information content and schedules are of course very precisely defined, and the Tax Administration
it is also necessary to be able to receive information from abroad in a certain schedule and with the ability
must use them as part of taxation here. The tax administration must make a
necessary changes to information systems so that data can be collected and reported and its aftermath
I know how to analyze and utilize here at our company."
The fourth interview theme included questions about the information obtained based on the reporting obligation
usability, which was already examined above based on the pre-filling that came up in the interview
van procedure. The reported information is expected to be of high quality. Assessment of data usage
49
in the pre-filled procedure for the activity must be carried out for each one covered by the reporting
only separately from the exchange type. From this point of view, personal services and rental activities
the information about it could be a natural starting point for income information due to its characteristics
for utilization. Transportation services and the sale of goods appeared to be more challenging
receivables. The points raised in this context are consistent with other background material
with.
H1: "...basically probably the ones obtained from rental activities and from personal pal
the income information obtained from the liabilities is such that it would be easiest to use them
raa and transfer to pre-filling.”
H1: "On behalf of the information content, you will immediately receive high-quality information."
H1: "Compensations paid related to the sale of goods or personal services
are perhaps not so easily transferable directly to pre-filling."
The inclusion of goods trade in the scope of the reporting obligation formed the fifth interview theme.
The Tax Administration has a positive attitude to information obtained from trade in goods. Performances in which the combination
related goods and services, are a potentially challenging area for implementing the reporting obligation
and for the use of data. The problem has also been identified in the literature219.
H1: "If we think about information obtained from abroad through international information exchange,
The tax administration will certainly benefit from, for example, large foreign trade in goods
information available from related platforms."
H1: "The challenge will certainly be exactly how to sell the service and the goods
sales are separated from each other, and how the platform operators know how to report
these situations correctly.”
The last theme concerned the strengths of the reporting obligation according to the OECD model rules and
challenges, but the interview also brought up the reporting obligation of the change directive res
spring assessment. In the interview answers, the above-mentioned information was highlighted as a strength
increasing access and uncertainty related to the implementation of the reporting obligation as challenges
the factors.
H1: "...the challenge is, on the other hand, that there is no way for countries outside the EU
dosa, which countries will join and on what schedule."
219
The division into trade of goods and services does not fully comply with the VAT directive
(2006/112/EC) procedure for assessing the nature of the performance. See Beretta 2021, p. 34.
50
H1: "On the other hand, the challenge is also how the non-EU platform operator's time
registration in an EU member state is ensured. And how will it be realized?
enforcement of sanctions, if, for example, Finland has to impose a sanction in the Union's ul
for a full-fledged platform operator."
H1: "And how to identify the platform operators who are obliged to provide information; which all brought
companies are subject to the reporting obligation and where they are domiciled when they operate
vat in a digital environment. On the other hand, we have partly the same challenges here in the country
therefore, i.e. how to identify the platform operators who are obliged to provide information. These notice
obliged.”
Insights related to obtaining, analyzing and using data are revealed in the interview material
not confirmed in legal literature and in the legal project VM123:00/2019 si
challenges discussed in the following draft of the government's presentation. Key Uncertainties
related to the usability of the data in the automatic procedure. In addition, reporting efficiency
six are challenged by the fast adaptability typical of the platform economy and digitalization ke
the questions arising from hit about the identification of reporting platforms and obligations
on the effective implementation of roads.
3.5.3 Interview 2: the relationship between the sharing and gig economy and light entrepreneurship
The goal of the second expert interview was to find out the phenomenon and distribution of light entrepreneurship
the relationship between loud platforms. The topic of the interview is more limited compared to the one presented above
for the first interview. Therefore, the structure of the interview is also unusual in relation
to the first interview analyzed above. The presentation of the analysis of the interview material is
chronological.
Due to the unestablished nature of the concept, the first interview question concerned light entrepreneurship
definition of the concept and meaning content. Based on the answer received, the content of meaning
was confirmed to be compatible with the one made on the basis of other material and adopted in this study
then with the definition220. In addition, the answer will reveal what kind of tax-related ins
tresses are combined with light entrepreneurship from the point of view of the taxpayer; in the background of light entrepreneurship
there is an effort to outsource administrative tasks related to economic or income-generating activities
taking care of the fulfillment of the obligations to the operator offering the light entrepreneurship service.
220
For the definition of the concept, see subsection 4.3.3.4.
51
Light entrepreneurship can thus appear to a natural person as a path with a low threshold
which is performed on sharing and gig economy platforms.
H2: "When we talk about light entrepreneurship, then of course the purpose is that ke
vytyryttäjät wants as few obligations towards us as possible ... and the effort then
of course, he doesn't have to take care of these himself, but they are taken care of for him."
In the answer to the first question, the lack of stability of the concept was also brought up
the problems raised in the dealings between the Tax Administration and the taxpayer. Taxpayers
consider the concept to be homogeneous in terms of content, and do not know the scope of the concept's meaning content
nisteta221. The observation was emphasized several times during the interview.
H2: "I mean, many times when customers contact me, they just say that I'm a lightweight
you And then at that point it starts asking more detailed questions, because they don't, etc
guess what, light entrepreneur, which of course is not an official term, can cover it
that it is the private person who works through the invoicing service. It has its own
his challenge to whether he gets a salary or work compensation."
The connection between sharing economy platforms and light entrepreneurship came up in the second answer
to the interview question. The phenomenon of light entrepreneurship can thus be combined with the sharing economy
to persons offering services through platforms, but the group also includes the platform economy
non-participating persons. The subject area has been highlighted in the Tax Administration's customer service work this year
from 2018 onwards.
H2: "Well, yes, it's probably a lot of light entrepreneurs who operate platform services
through. And that number has clearly even increased in my opinion. Of course, there are also light bikes
companies that then independently offer something, for example, services in the construction industry and then
use billing services. Of course there are these too. But increasingly they are those who
use such platforms then.”
H2: "Well, probably since 2018, like most. That then they (for light entrepreneurship
related contacts) began to appear more. It's like 2018 here with us."
The answers to the third question regarding the rapid development of sharing economy platforms
the facts were consistent with the points raised in the first interview. Haas
221
The interviewee's view is based on what was formed in the Tax Administration's customer service and other business channels
to the experiences here. Therefore, the concept cannot be generalized to cover all taxpayers.
52
the rapid development and change of the platform environment and the cross-border i.e
problematic hips. Companies offering various light entrepreneurship service packages
differ from each other in their procedures.
H2: "Well, the fact that, of course, a lot of operators are born and quickly. And the fact that they don't always.. everyone
the habits and actions of that new actor are foreign, they are unknown."
H2: "It is not known what types of contracts they make, i.e. whether they pay, for example
compensation, or does it convey those performances. And especially if it is an actor
from somewhere other than Finland."
The aim of questions four, five and six is to find out the knowledge of small business owners about own tax
about their obligations and the division of responsibility for managing these obligations between the light entrepreneur and the employee
between the wool provider. Based on the answer, small businesses that contacted the Tax Administration
Among them, the lack of knowledge about the type of contract and thus also about the contract is highlighted
about the obligations and the division of responsibility for managing them between the service provider and the taxpayer
between it. The answer will also bring up the issue of taking care of tax obligations properly
the motivation behind light entrepreneurship.
H2: "Many times when they need that tax advice, they do not, almost without exception, know that
what kind of deal they have made. So they just think that they are light entrepreneurs
and these things are taken care of on their behalf."
H2: "... so the type of contract, whether in an employment relationship or an assignment relationship, is
foreign to them... you have to guide the customer so much that you have to be careful
let me know what kind of agreement it is."
H2: "And it can be understood that people want to work as a small business owner...they have professional skills
toa and that is of course a great thing, but the fact that they are not that interested in taxation and
very much rely on being told that they don't have to do it themselves
this. And yet then certain tax obligations may arise, of which they are not
have not been aware of."
In addition, it has been found that there is ambiguity related to work compensation-based light entrepreneurship contracts
on VAT liability and the importance of the advance collection register.
H2: "And they would understand what they are in that agreement.. according to their agreement
the billing service company's obligations and then what are theirs... Because mo
after all, at that stage we are contacted when they receive work compensation and exceed it
53
value added tax's low activity limit, then in a way there is already a little milk
on the ground."
H2: "But maybe more, however, they don't know what it is (advance collection register entry)
in practice means that they should, for example, apply for advance taxes on their activities
.. But the thing about light entrepreneurship is that when they rely on it anyway,
that someone takes care of it for them.”
Questions seven to ten dealt with the advice offered by the Tax Administration, its an
challenges related to development and accessibility and the role of light entrepreneurship service providers Wed
as an entrepreneur's source of information in tax matters. The main communication challenges were language challenges
and advisory outreach to light entrepreneurs who receive income through sharing economy platforms.
H2: "Efforts were made to build such question batteries and such on the vero.fi website
drop-down menus, from which they themselves then choose which of these conditions apply. It is
there in Swedish and English too... The Tax Administration does not know when someone is planning (Wed
entrepreneurship), if they don't contact us themselves. Then, of course, we
vero.fi will only be marketed and advice given."
In advice, the Tax Administration strives to be proactive. Low-threshold co-operation with light trucks
with companies offering full-service contracts was considered relevant.
H2: "... that such a conversational connection, that what we observe here on our front,
et what creates challenges for those performing the work, so that we can discuss them and
to also instruct these actors (light entrepreneurship service providers). And correspondingly if
they have some problems, so it was a low threshold to contact the Tax Administration and get
the right guidance, so that they don't unintentionally and unknowingly steer wrong."
There can be more than one person between the seller offering the performance and the buyer ordering the performance through the platform
intermediary. The structure has been found to lead to a blurring of the responsibility for handling reporting obligations
there.
H2: "... but if there is, for example, a platform that offers mediation and then it is a job
the executor, who uses an invoicing service company in between who reports and what
inform."
The last questions dealt with the phenomena of light entrepreneurship and the platform economy, i.e
familiar with the challenges encountered in the Tax Administration's customer service channels. These included tax obligations
problems arising from efforts to outsource the responsibility for managing roads, to value added taxation
54
related questions, the difference between salary and work compensation and the Tax Administration's register entries res
spring ambiguities. With the exception of the latter, other issues had also come up before
in connection with other questions.
H2: "And it may appear, as if by chance, that the limit (the limit of little activity
in value added tax) has been exceeded. And yet they themselves have been of the opinion,
that they get paid... it's such a challenge on a regular basis."
H2: "... when there are these kinds of services for small entrepreneurs where you actually register
right now as a private entrepreneur and then that activity ends... I'm on it
come across that you don't know their contracts, how it is in this situation
agreed. Then it might happen that the notice of termination is not made."
I interpret the interview material in such a way that light entrepreneurship aims for the equivalent of tax affairs
ease of care, than reported by a person in paid work based on pre-filling
in it. Income acquisition based on exchange on sharing economy platforms has been brought
with a market-based service to respond to a situation where the employer transmits salary information to the general public
on the basis of the reporting obligation to the Tax Administration, after which the taxpayer is free to go
checking the correctness of the information on the tax declaration sent to him. Sharing and gigging
getting the income generated in loude under pre-filling would reduce the light entrepreneurship service
den need as an intermediary responsible for the reporting obligation and would clarify the taxation procedure
from the point of view of the taxpayer. This is summed up in the vision of light entrepreneurship and the Tax Administration
from a relationship:
H2: "In a way, that's what the invoicing service company is, this accounting firm. So
this micro-entrepreneur has those responsibilities… but they (micro-entrepreneurs)
of course then they promise to take care of the customer's behalf, so the customer does not have to do business
With the tax administration. Which of course they try to avoid until the end"
55
4 CONTENT OF THE DIRECTIVE AND AVAILABILITY OF DATA
4.1 The grounds for the reporting obligation set out in Directive 2021/514/EU
The reasons that led to the need to reform the Employment Assistance Directive are highlighted in the directive's
preamble222. The need for change can be summarized in three main arguments: 1) shortcomings of the platforms
in the reporting of income generated through mediation lead to a tax deficit in the member states, 2)
the aforementioned puts taxpayers operating through platforms in an unequal position
of the country in relation to actors not participating in the platform economy and 3) set by the member states,
differing reporting obligations lead to unnecessary chaos for all parties
to the growth of zero burden and the resulting costs. The fragmentation of obligations does not support the realization
of the internal market principle. 223 The objective of the Employment Assistance Directive, the amendments made to it
taking these into account, has been to guarantee the tax authorities of the member states an effective regulation of "tax fraud
to detect and combat various forms of tax evasion and tax evasion."224 Preamble 2
section highlights the need identified by the European Commission for the continuous development of the directive
to the one that in practice appears as actions similar to the current directive reform.
Point 6 of the preamble states that the digitization of the economy and the change through platforms
data has increased in recent years, leading to further complexity in terms of proper taxation
to the development of difficult situations. In this context, the platform economy is specifically mentioned
closely related to the nature of cross-border activities and its connection with the control of tax rules and no
to the difficulty of ensuring dating. Paragraph 7 of the preamble emphasizes the member states
the nationally set and seriously deviating reporting obligations are growing
van administrative burden for platform economy operators. In terms of the realization of the internal market principle,
which is important for the operation of the European Union225, unifying the regulation is therefore justified.
The goal of obtaining the information with which the exact determination of income tax is possible,
mentioned in points 8 and 12 of the preamble. Accuracy of reporting and exchangeable information
222
The reference to the preamble used in this presentation refers to the preamble of Directive 514/2021/EU, unless otherwise stated.
223
Stevens – Wamelen 2021, p. 25.
224
Point 1 of the preamble of Directive 514/2021/EU.
225
The importance of the internal market principle in the background of the directive reform is brought up directly in point 10 of the
preamble.
56
usefulness in member states based on the pre-filled tax declaration procedure can be covered
should also be emphasized in point 20 of the preamble, where the exchange of information is required "... before,
than the tax authorities of the member states make their annual assessment of the amount of taxes". Direct
based on the information that will be reported as a result of the reform, determine the exact amount of tax
however, it is challenging in some places. This is particularly challenging in the context of goods trade
where226.
An essential specification of the official assistance directive 2011/16/EU has been included in point 30 of the preamble
based on the possibilities of using the information to be exchanged. According to it, from other member states
information obtained on the basis of the directive can be used not only for income tax, "... but also for value added tax
and for imposing, administering and collecting other indirect taxes". For a special Main
nalle about the scope of the right of use is given as the reason earlier for the possibilities of using the data
the related uncertainty and the emphasized importance of value added taxation to the internal market principle
for implementation.
The need for reporting and information exchange is described in the preamble and drafts of the amendment directive
in essential respects consistent with the starting points of the national need for information. Significant differences
relate to material activities covered by the reporting obligation; in the law project
VM123:00/2019 trade in goods was limited outside the notification obligation. In the following ar
changing the content of the directive in relation to the national need for information. Reporting procedures
in the related subsection, the content of the directive is examined regarding access to information, taxation procedure and ra
from the perspectives of the due diligence procedures of the porting obligation. After that, your attention
type-specific guarantee for each entity named in the new Annex V of the Civil Service Directive
to that end.
4.2 Reporting procedures
4.2.1 Who reports
Platform refers to digital software in the broad sense of the term in the change directive
in it. The definition of the platform is presented in Section A, Section 1 of the new Annex V of the Civil Service Directive
subsection and means “…any software available to users, including
226
The inclusion of leasing in the scope of the reporting obligation is specifically justified in point 18 of the preamble. In this
context, the obstacles to tax fraud, tax evasion and tax evasion are raised as justifications
nose
57
website or part thereof, and applications, including mobile applications, that allow sellers to take
contact other users in order to perform an essential action for those users
directly or indirectly.” In addition, it is specified that "It also includes all arrangements which
with the help, the consideration related to the essential action is collected and paid." The concept has been clarified
by delimiting in section A, section 1, sub-section 2, of the new Annex V of the civil service directive
outside “…software that enables exclusively the following actions without intervention
for the performance of the essential act in another way: 1) payments related to the essential act
processing, 2) listing or promoting relevant actions by users, and 3)
directing or transferring users to the platform." Even if the digital service provider offers
all three services mentioned above at the same time, it can be considered to be defined as falling outside
the platform referred to in the annex to the amendment directive227.
The essential activity mentioned in the definition of the platform is Section I of the new Annex V of the Civil Service Directive
according to subsection 8 of section A of the immovable property to be performed for consideration, park
renting a place or means of transport, personal service and goods
sales. The compensation is according to subsection 10, section A, section I of the new Annex V of the official assistance directive
literally “Compensation in any form minus all reporting
fees, commissions or taxes withheld or collected by the platform operator and which is paid or credited
is given to the seller in connection with an essential transaction and the amount of which the platform operator knows or receives
reasonably easily aware of". Based on this, the concept of consideration also covers other than
compensations made in money guaranteed by the state, including, for example, in virtual currency
completed exchanges.
Platform operator refers to the field of point 2 of Section A of the new Annex V of the Civil Service Directive
according to section "...a unit that makes agreements with sellers that the entire platform or
part of it will be made available to those sellers.” In practice, this means the company or
other operator responsible for maintaining and managing the platform. Reporting obligation
however, the exceptions according to Annex V, section I, section A, subsection 3 are limited to the outside
the platform operators under it, whose business model they do not have to report to
sellers. In practice, the platform operator subject to the exception presented in this context means
for example, a digital platform economy operator that offers its services exclusively
227
Beretta 2021, p. 33.
58
to public authority units or companies listed on the stock exchange228. Cross-platform, sharing
The P2P-style exchange that is generally associated with the definition of loude is therefore basically included
always within the scope of the reporting obligation.
The circumstances constituting the obligation to report have been specified in the new official assistance directive
In subsections 4-7 of section I of Annex V, the content of which is illustrated in the accompanying figure 2.
Figure 2: Reporting platform operator.
A non-EU platform operator that offers is also obliged to report
a digital platform service that enables the performance of an essential action in the territory of the member state
before229. According to Article 1, Section 8, Subsection 4 of the Amending Directive, each Member State must
make it possible for this type of operator to register as a reporting obligation. Here
in connection with the non-EU reporting platform operator is given a unique tun
niste In the new Annex V, section IV, section F, sub-paragraph 7 of the Employment Assistance Directive is determined
228
Sellers subject to the exception are, in accordance with the new Annex V, Section B, Section 4, Subsections
a and b of the new Official Aid Directive, public authority units and such units whose shares are regularly traded
on established securities markets.
229 For the sake of clarity, let it be stated that the platform operator obliged to register once, as referred to in the
new Annex V, Section I, Section A, Section 4, Subsection b, is not a reporting platform operator by definition, but
it has the same obligations to provide information as a reporting platform operator within the meaning of the
directive. Therefore, all the obligations of the reporting platform operator presented in this study also apply to
non-EU platform operators that fall under the scope of one-time registration.
59
about the possibility of canceling the registration of a non-EU platform operator, if I report
titel ointment is not observed. Correspondingly, Article 1, Section 8, Section 4, Section 1 of the Amending Directive
according to section, re-registration can only be allowed in a situation where re-registration
the operating platform operator gives guarantees of compliance with the reporting regulations to which it is competent
to the authority of the Member State to which the registration is being carried out.
The amendment directive contains an essential clause in terms of the formation of the reporting obligation
dination mechanism between the EU and jurisdictions outside it. Non-EU
the platform230 is exempted from the obligation to provide information to a member state, if similar information is
exchanged on the basis of an information exchange agreement between a non-EU country231 and a member
state232. In these situations, the tax authority of the member state receives the corresponding information outside the EU
more than the land equivalent. The procedure can be justified by the goal of reducing administrative debt
the burden caused by vols. The information exchange agreement referred to in this context primarily referred to the
OECD's DPI mechanism.233
The conditions set for the formation of the reporting obligation can be considered to be taken into account
platform economy operating environment widely. However, a report came up in the interview material
uncertainty factors related to the formation of the performance obligation, which were the definition of the platform
m's temporal sustainability, identification of reporting platforms and foreign ships
questions related to registration. In addition to the above, also the land of consideration
ritelma and its conversion into monetary form are open to interpretation.
The definition of the platform is comprehensive and formulated in such a way that in the prevailing sharing and gig economy
in an operational environment, it is difficult to purposefully avoid the definition. At the same time
however, the scope may make it difficult to identify the platforms and fulfill the obligation var
misting. All those activities are covered by the amendment directive and DPI's reporting obligation
jat, which are mentioned by name in VM123:00/2019 contained in the above-mentioned draft law
in the draft for the government's presentation. These platforms with a significant market position
230
So. "Approved non-Union platform operator". Subsection 5, Annex I, Section A of the new Employment Assistance
Directive.
231
"Approved non-EU jurisdiction". Section A section 6 subsection of the new V Annex I of the Employment Assistance
Directive.
232
"Qualified Competent Authority Agreement". Subsection 7, Annex I, Section A, of the new Employment Assistance
Directive.
233
See Beretta 2020, section Qualified Non-Union Platform Operators and Automatic Exchange of Equivalent Information.
60
besides, the other extreme is formed by, for example, the electronic platform maintained by hobby clubs
through which products and services are offered for sale to other members of the community.
Even these platforms, which are small in terms of transaction volume and value, can be considered to fulfill this
platform definition. The question that needs to be resolved is what kind of limitations need to be made
in resourcing the monitoring of platforms. The question related to the size of the platforms has been taken into account in the DPI
with an option, on the basis of which the reporting obligation can be limited to platforms whose
the value of the services provided has not exceeded the amount of one million euros in the previous calendar year
period, the operating model of the platform does not include the transmission of services for consideration or the platform
indicates that it has no reportable sellers at all234. Since a corresponding limitation tied to the size class is not included
in the text of the amendment directive235, the fulfillment of the reporting obligation must be ensured in the member
states regardless of the size of the platform236. The limitation of DPI creates a theoretical possibility
den spreads the operation over several platforms and thus avoids the formation of a reporting obligation.
The registration of non-EU platforms covered by the reporting obligation is sought
to ensure this with a sanction mechanism. Article 25 a of the Employment Assistance Directive leaves the sanction mechanism
nisms is at the discretion of the member states, provided however that the sanctions are effective
six, proportionality and caution. F of section IV of the new Annex V of the Employment Assistance Directive
according to paragraph 6, "... member states must also try to coordinate their actions,
whose purpose is to monitor compliance with requirements, including as a last resort
prevent the operation of the reporting platform operator in the Union". Practical actions could be pre
as a sign of restricting online traffic to the electronic platform of a non-EU operator that has refrained from registering. As
an extreme example of this kind of sanctions and preventive measures
the difficulty of implementation can be described as happening in the so-called dark web environment,
in other respects also illegal exchange, the prevention of which has proven to be global
234
OECD 2021, p. 15.
235
In this regard, the European Commission's regulatory review board called for consistency with the DPI in its opinion on the draft
directive. Later, the omission of a limit based on the size of the platform was justified, among other things, by the fact that setting a
limit would motivate the platforms to stay below the limit and thus distort the operation of the platforms ("bunching effect"). See
European Commission 2020a, p. 55, European Commission 2020b, pp. 2-3 and Beretta 2021, p. 34.
236
In contrast to the platform itself, the sellers operating on the platform have been set a minimum level of activity in connection with
the sale of goods as a prerequisite for reporting. Therefore, a platform focused exclusively on the trade of goods could be considered
to be outside the scope of the reporting obligation based on subsection 3 of Section A of Section I of Annex V of the new Official
Assistance Directive, if the activity of all sellers registered on the platform falls below that limit.
On the other hand, an excess for even one seller would be enough to trigger a reporting obligation. The matter has been discussed
in more detail in subsection 4.2.2.
61
level 237 problem. It should be noted that these platforms also belong to the report by definition
within the scope of the obligation to act, if the platforms are carried out as referred to in the reporting norms
women to act. However, in terms of the national economy and fiscal significance, the problem can be solved
considers in its current extent mostly marginal. Digital platform or its parallel
fading the version beyond the reach of the effective implementation of the reporting obligation is kui
I thought it was theoretically possible.
4.2.2 Who is reported on
In the amendment directive, the seller means "The user of the platform who performs the essential action,
who is a natural person or entity" and who is registered on the platform during the reporting period
during it. However, more detailed limitations have been set for the group of reportable sellers. I don't
there, too, the scope of the reporting obligation includes only those sellers whose registered office is in
in that state238 or the seller rents immovable property located in the member state239.
Second, the seller must be active and third, the seller must be other than an exception
subordinate salesperson.
An active seller is made by offering an essential activity during the reporting period or equivalent
receiving the consideration related to the newly essential action. This kind of limitation
can be considered to reduce the administrative burden of reporting platforms, as it enables
excluding passive sellers from reporting. Reference framework for digital platforms
it is not unusual for a user to register on the platform only to perform a single action,
but will not unsubscribe on their own in the long term. Sell to actives
reporting aimed at ji therefore leads to the compilation of a relatively smaller mass of data and
for reporting and the Tax Administration does not need to separate the so-called zeros from the reported information
lari lines. A conflict situation can arise if the taxpayer reports through the platform
man's income, for which the corresponding record is not included, to be submitted to the Tax Administration by the platform operator
to the report. In this case, it is possible that the platform has neglected its reporting obligations or changed
optionally, the taxpayer has given an incorrect declaration. If zero rows were included
237
For dark web trading places and trading volumes, see e.g. Hiramoto – Tsuchiya 2020, pp. 2-4.
238
According to Subsection 1, Section D, Annex V of the Amending Directive, the seller is considered to live in a Member
State where 1) he has a primary address, 2) he has a TIN or VAT number issued by the Member State, or 3) if it is a unit
referred to in the Amending Directive, it has a fixed place of business in the Member State (permanent establishment).
239
Paragraph 2 of the new Article 8 ac of the Employment Assistance Directive.
62
to the reporting obligation, neglecting the reporting obligation would be automatically excluded
disposable. In practice, the difference between these two situations is not significant, because the contradiction ra
between the ported and the income information reported by the taxpayer, the actual amount of the income must be ascertained
in any case240.
A seller subject to an exception refers to section I of the new Annex V of the official assistance directive
According to sub-sections a and b of section B, sub-section 4, units of public authority and public trade
listed company being visited. When assessing whether the seller in question is subject to the exemption
nen or not, the reporting platform operator can rely on publicly available information and yuk
in the case of a pig, to the confirmation requested from it. Consequently, the units themselves will also have
to have an idea of whether they are exempt sellers as referred to in the amendment directive. Li
therefore, the group of sellers to be reported has been limited by setting the reporting period-specific241 upper and lower limits
lower limits for the number of essential actions. These restrictions apply to rental activities and goods
trade. of the new Annex V, Section I, Section B, Section 4, Subsection (c) of the Employment Assistance Directive
according to the exception, a seller also means a seller operating on the platform who is
rented out a part of the real estate complex more than 2,000 times. Report in the grocery store
a maximum of 30 is also not considered a second-hand seller according to subsection d of the above-mentioned appendix
a seller who sold goods during the reporting period, if the sum of the consideration received by the seller
the additional amount does not exceed 2,000 euros. The definitions of the seller subject to the exception are the same in this respect
between the DPI and the Civil Service Directive. Thus, for example, hotels and individual objects
private individuals who sell during the reporting period are excluded from the concept. Limitations
are not in conflict with the Tax Administration's need for information.
4.2.3 Data to be collected and reported on all relevant activities
The following is the information that the platform is obliged to collect from all relevant actions
performed by the sellers and the consideration related to activities essential to the platform brokers. Here's an example
the information provided exhaustively concerns personal service, the sale of goods and traffic
renting out the instrument. A prerequisite in connection with renting out real property
in addition to this, the collection and reporting of information about the rental object. These
240 See Räbinä et al. 2017, p. 183.

241
The reporting period refers to one calendar year in the new Annex V, Section I, Section C of the Civil Service Directive
in accordance with subsection 6.
63
additional information is provided below in the subsection dealing with the relevant essential activity. Sellers kos
in addition to simple information, the platform also has an obligation to provide information about itself. During the process
the reporting platform operator is obliged to follow due diligence procedures regarding data collection, verification and
reporting242.
The reporting platform operator must collect key identifying information to identify the seller.
According to the new Annex V, Section II, Section B, Subsection 1 of the Employment Assistance Directive, natural
the information collected about the person is first and last name, primary address243, all information given to the seller
TIN tax identifiers, possible value added tax identifier and date of birth. The said B point
According to subsection 2, the following information is collected from the unit: legal name, primary address,
all TIN tax identifiers given to the seller in question, possible value added tax identifier, company
registration number and information on possible real estate located in the territory of the European Union
of offices244. In addition to the first and last name and the official name, it is not necessary to collect others
the aforementioned information if the Member State has made identification available to the platform operator
for verifying the identity and domicile of the seller of the service. For this purpose can
daan uses, for example, an API solution (application programming interface) integrated into the platform245. If the
verification service is not available, the platform operator must verify the correctness of the data using other means246.
Ultimately, the platform operator must identify
the seller of the valid authority mentioned in Annex V, Section II, Section C, Sub-paragraph 3
with the help of an identification document or a recently issued tax domicile certificate. Wed
the relevant information and the due diligence procedures related to them are, in these respects, identical official aids
between the rective and the DPI. The platform operator can limit the due diligence procedures to only
active sellers and the operator has the option to outsource the implementation of due diligence procedures
to an external operator, but the responsibility for their compliance remains even in this situation alone
242
In the amendment directive, due diligence procedures are presented in Section II of Annex V. Similar procedures in DPI incl
refer to Section II: Due diligence procedures. OECD 2020, pp. 21-28.
243
According to the new Annex V, Section II, Section D, Subsection 1 of the Employment Assistance Directive, the person obliged to report must
consider that the seller resides in the Member State where the seller has a primary address. The primary address, on the other hand, means the
principal address of the seller in the case of a natural person and the address of the statutory domicile in the case of an entity, in accordance with
Section I, Section C, Subsection 5 of Appendix V.
244
Subsection (f) of Section B, Section II of the new Annex V of the Employment Assistance Directive. DPI does not contain a corresponding key
I make the workplace reporting requirement. OECD 2020, p. 21. See also Beretta 2021, p. 35.
245
OECD 2020, pp. 19 and 24.
246
According to subsections 1-3 of Section D of Section D of the new Annex V of the Employment Assistance Directive, the verification must use
"...all information and documents that are available to the reporting platform operator in its archive data, as well as all electronic interfaces made
available free of charge by the Member State or the Union for the TIN tax identifier and/or value to ensure an additional tax ID". Accordingly,
according to the DPI, the reporting platform operator must ensure the reliability of the data by using all available documents ("...using all records
available...").
OECD 2020, p. 22.
64
on the reporting platform247. In the OECD model, the matter has been clarified by stating that if the beginning
rely on a third party to ensure due diligence procedures shall be between the parties
to have an open flow of information and relevant agreements. This is to ensure careful
availability of the information necessary for ensuring oral procedures to the third party
holle.248
The information regarding the remuneration related to the essential action and its payment is key
in terms of the purpose of the amendment directive. Remuneration refers to the new official assistance directive
According to Annex V, Section A, Section A, Subsection 10, "compensation in any form,
from which all fees withheld or collected by the reporting platform operator have been deducted, salary
taxes or taxes and which is paid or credited to the seller in connection with the essential action and which
the platform operator knows or reasonably easily becomes aware of the amount." The definition is mainly
consistent with DPI's consideration definition: "the consideration is in any form
compensation that is paid or reimbursed to the seller in connection with the essential action and whose amount
r platform operator knows or can reasonably easily find out249." The consideration can be included
compensations paid by third parties are also considered to be part of, for example, essential
paid to the seller for visibility acquired for marketing purposes related to the activity
compensation and tips and other similar ancillary services250. For determining the value of the consideration, add
there is room for interpretation, especially when it is paid in a form other than guaranteed by the state
as a lute. In this case, the platform operator is set in Section A, Section III, Subsection 6 of Annex V
the obligation related to the notification to convert and value the consideration thus paid with a consistent
way and report it in local currency. Consistency in reporting requires s.l
for example, about the conversion rates used.
Regarding the consideration, it is unclear in which situations the reporting platform operator can be covered
soa to be aware of the amount of consideration paid or when this information is the platform operator's
in terms of reasonably easily accessible. The sharing economy can be approached in different ways
through real situations occurring on the platforms. If the buyer pays and the seller receives
through the payment platform or a payment intermediary closely connected to the platform, there should be no ambiguity
about the formation of awareness meant by the change directive and DPI. Instead, as challenging
247
See Beretta 2021, p. 36.
248
OECD 2020, pp. 27-28, see also Beretta 2021, p. 36.
249
OECD 2020, p. 16.
250 Ibid. p. 16.
65
a situation appears that is directly addressed in the OECD's commentary, but which is different
left unmentioned in the directive; The consideration subject to the reporting obligation also applies to me
compensation paid directly by the buyer to the seller related to the woman's act, in the conveyance or payment of which the
platform has not participated251. Thus, the reporting obligation also extends to sel
to legal transactions based on a notification made on the platform, but the details of which
The seller and buyer who met on the dista platform agree with each other outside the platform. In practice
the situation may be related, for example, to a service or goods physically performed at the buyer's place
to shop. In this case, the price that the seller has announced on the platform will be used in the reporting,
although the actual price may differ from this information. If the platform imposes an obligation on the seller
the price is confirmed by the realized price, the seller has an interest in declaring a lower price than the realized price
tike. For this reason, information can be considered reliable only when the reporting platform is a swamp
directly or indirectly participated in the transfer of consideration and the amount of consideration is a certificate
without any room for interpretation. Even in the last mentioned situation, however, the theory remains
nen possibility for a price increase agreed between the buyer and the seller through the platform
in addition to consideration. Basically, a communication tool enabled by the platform, such as chat functions
non, with the help of the agreed pricing information that differs from the announcement could be considered to be hel
mail platform available.
In connection with the payment of compensation, the reporting platform operator has to comply with the new V of the civil service directive
financial account identifier252 for that account to be reported according to section B, subsection 2 of Annex III ,
to whom the consideration related to the essential action is paid, if this information is available to the operator
villa. The reporting obligation is also required to notify, if the seller to be reported
is a different person than the financial account holder253. The reporting obligation of platform operators has si
The revenue item related to the individualized information requests described above in subsection 3.4.3 has been resolved
Taming's problem. In principle, such can be extracted from the reported mass of data
transactions in which the platform operator has declared the recipient of the income to be a different platform-mediated one
about the service provider. The information is of the highest quality to the extent that the platform has secured a financial account
on the basis that the recipient of the income and the seller who performed the essential activity are the same person.
251 OECD 2020, p. 16.

252
According to subsection 8 of Section C, Section C of the new Annex V of the Employment Assistance Directive, the financial account identifier means the
unique identification number of the bank account or other similar payment service, or the reference number available from the platform operator, to which the
consideration is paid or credited. If the consideration is made in virtual currency, this means the identifier of the virtual currency wallet. In these situations, the identifier
may not be connected with certainty to the recipient of the income, and the information in question may therefore be out of reach of the reporting platform operator.
253
Section B point 2 subsection of the new V Annex III of the Employment Assistance Directive.
66
The person obliged to report must also collect information from all the member states where the seller has
domicile254. In addition, the reporting entity must comply with Section III of the new Annex V of the Civil Service Directive
According to subsection 2 of section B, to collect and combine information with the seller's essential activities
of the number of employees and the total amount of consideration paid per quarter. For quarters
based division is consistent between the DPI and the amendment directive. Along with this, to report
the platform operator must also collect quarterly, netting information on all payments, salary
of taxes or taxes that the platform operator has withheld or collected from the seller. In addition, DPI incl
this is a requirement for correcting the information in a situation where the reporting seller receives a refund
for consideration after the end of the reporting period255. An example of such circumstances is the cancellation of
transactions256.
In both reporting procedures, the payment basis257 is applied as the basis for periodicity, which
must coincide with the distribution of contribution-based income applied in personal taxation in Finland
with. The inconsistency related to the period occurs in some situations, professional or
in the case of a trader; platforms report income information on a payment basis, but amma
the trader has the opportunity and the trader has the obligation to apply the accrual basis when reporting income258. This
fact must be taken into account if and when the reported data will be used as comparison data also in the tax supervision
of this group of taxpayers259.
In addition to the reporting obligation to the competent tax authority, the reporting person
the platform operator has an obligation to inform the seller operating on the platform. Office Assistant Dir
according to subsection 5 of Section A, Section III of the new Annex V, the seller must be delivered sa
personal information that the platform has reported to the tax authority. Therefore, for the seller,
get an idea of what information he has about the transactions he carries out through the platform
measured to the tax authority.
A significant part of the information listed above is that which the platform operators basically have
collect from their customers on their own initiative or another that was already in force before the amendment directive
254
Section D Section 1 Subsection of the new V Annex II of the Employment Assistance Directive.
255
OECD 2020, p. 31.
256 Ibid. p. 31.
257
See Beretta 202.1 p.35.
258
Tax Administration 2019c, section 3.1.1.
259
The issue related to periodization also concerns other units referred to in the amendment directive, such as joint stock companies that
follow the accrual basis of accounting. However, due to the limitation of the study, these situations will not be discussed in more detail in
this context.
67
based on regulation. It can be considered the most important burden on platform operators
editing the data into a reportable form, and not so much collecting the data itself.
In addition to the information collected about sellers, the reporting platform must provide information about itself. Official
according to point B of section III of the new Annex V of the auxiliary directive, this information includes the name, rule
the address of the resident's domicile, TIN tax code and the business name or business names of the platform.
4.2.4 Exchange of data, effective implementation and purposes of data use
The information regarding the previous reporting period must be provided by both reporting standards on Fri
with rust by January 31 following the end of the year. The deadline applies
information to be given to the competent tax authority and to be given to the reporting seller
notification of the essential actions performed. Reporting by platform operators
the markets provide the information for the first time for the tax year 2023, i.e. no later than January 31, 2024. Member election
tion's tax authority must comply with the Union's standard forms for automatic data exchange
data transfer format (common communication format, CCN) and XML developed by the Commission
using the model within two months of the end of the reporting period, i.e. annually
during January-February.
In paragraph 20 of the preamble of the amendment directive, the reporting schedule is justified as follows: "Ve
the goal of preventing fraud, tax evasion and tax evasion could be achieved
ensure by requiring digital platform operators to report through the platforms
received income at an early stage, before the tax authorities of the member states make the year
I will support his assessment of the amount of the tax." According to Section 49.5 of the VML, "A taxpayer other than an entity
and taxation of the joint benefit ends no later than the calendar year following the end of the tax year
at the end of October." Therefore, the reported information can be used by the Tax Administration
starting from the end of May260, i.e. for at least eight months for a natural person
to deliver taxation. In terms of control, the resource could be considered abundant when taken
260
Information provided by Finnish reporting platforms no later than 31.1. from.
68
taking into account the timing of the deadline for returning the pre-filled tax return typically huh
for the period between the beginning of Tikuu and the last quarter of May261. If the information is included
here for a pre-filled tax return, the time window is narrower.
Based on the obligation to provide information to the seller, the taxpayer has the last one every year
on 31.1. available from January a summary of the income received through the platforms and Tax
about the content of the report submitted to the administration. The procedure can be considered useful and informative
to increase appetite. The indirect benefit form of the comparison data check described above
from the fact that the income information concerning the taxpayer may end up with the Tax Administration, even if he does not
would fulfill his reporting obligation himself262. Consequently, the taxpayer has a
I was forced to report income even in those circumstances where the transfer of the income information in question
Relatively unlikely for the tax administration, but possible. Platforms' reporting obligation
as a result of the win, the seller operating on the platform has no uncertainty in the transmission of income information
therefore also to the Tax Administration. Impressive argumentation behind comparative data checks
accordingly, it can be stated that there will presumably be a willingness to report income from the platform economy
to increase also when the reported data is left out of the pre-filling. Critically
the question can be raised to what extent inclusion in pre-filling would thus even increase the tax collection
I. However, tax collection is not the only dimension to be considered. If the estimates described above
an increasingly large part of the growth in the importance and scope of the platform economy are realized
the income previously paid as salary income is replaced by gig work through the platforms
as compensation. The possibilities of including the data in the pre-filling must therefore be investigated
actively, if the procedure based on pre-filling allows the taxpayer the trouble
dustiness and invisibility are wanted to be maintained at the level that preceded the breakdown of the platform economy.
Effective implementation of the reporting obligation and due diligence follow procedures
to ensure this by placing the threat of sanctions on the reporting platforms on the one hand and the report on the other hand
for good sellers. Sanction mechanisms are change directives that converge in their central content
between vin and DPI.
261
The deadlines for returning the pre-filled tax return in 2022 are May 10, May 17. and 24.5. If the taxpayer has
also had to file a business or forestry tax return, the due date has been April 1. Tax administration 2022c, section
Pre-filled tax return and tax decision and Tax administration 2022d, section Tax declaration – Business and
professional practitioner.
262
Cf. Äimä 2017, p. 236-238 and Juusela 1998, p. 254.
69
To report according to Section IV, Section A, Subsection 2 of the new Annex V of the Employment Assistance Directive
the platform must close or freeze the seller's customer account, if the seller has refrained from asking him
of submitting the identified identification data within 60 days of the original presented by the platform
upon request and the seller has been reminded about it twice. In this case, the platform operator must close
the seller's account263 and prevent it from re-registering for a period of six months or change
voluntarily refrain from paying the consideration to the seller. Sanctions expire when the seller an
after the requested information. Whereas the sanctions against the seller operating on the platform have been determined
in the amendment directive, the decision on the sanctions to be imposed on the platform operator is left to
to the authorized level of decision-making power. Sanctions must be based on Article 25 a of the amending directive
effective, proportionate and warning. The matter has also been raised in point 21 of the preamble.
In practice, this can mean, for example, the imposition of fines or a negligence fee264
to a platform that neglects its reporting obligations.
According to point B, point 1 of the new Annex V, section IV, of the Member States
the necessary measures must be taken to oblige the platform operators to keep the huo
information related to the compliance with safety procedures and the reporting itself. The accounting in question
must be available for a sufficiently long period of time, which is considered to mean in the amendment directive
a maximum of ten years and a minimum of five years from the end of the reporting period.
In the OECD model rules, the minimum period of the retention obligation is defined as the same
five years, but the maximum period is not limited265.
4.3 Essential actions
4.3.1 Delimitation of the essential activities covered by the reporting obligation
The essential actions referred to in the Amendment Directive and DPI, including options, are fixed
rental of property, personal service, any means of transport
letting out and selling goods. In the preparation phase of the Employment Assistance Directive, applicable
crowdfunding was also intended to be included in the field. However, it was limited in scope
263
The DPI contains a corresponding exemplary measure, according to which the platform operator must prevent the seller from
contacting other users of the platform. OECD 2020, p. 35.
264
In Finland, the non-compliance fee for non-compliance with the general and special reporting obligations is stipulated in Section
22a of the VML, and the corresponding procedure could be extended to also cover the platform operator's non-compliance with the
reporting obligation.
265
OECD 2020, p. 36.
70
outside before the final approval of the directive proposal266. Peer-to-peer funding badge
attention has been paid to this in studies concerning the Finnish platform economy environment;
the share of crowdfunding in the transactions of the sharing economy in 2016 was a total of 70 million euros,
with the total amount of all transactions being 107 million euros267. A crowd
care has come up in several contexts, also in the tax return on income from the sharing economy
in secular literature268. Consequently, crowdfunding is limited to those that can be reported
outside of essential actions can be considered as a deficiency if the review area is extended to cat
the sharing economy in its most established concept. On the other hand, to the legal project
In the draft included in VM123:00/2019, it has been stated that "The regulation
peer-to-peer loan brokering and crowdfunding on platforms would also be outside the scope of application."269
Therefore, the content of the reporting obligation can be considered information

according to the state of will regarding the national development of the obligation to give.
The above-mentioned document also mentions that "The provision's proposed disclosure obligation
mouth would not apply to the sale of new or used goods on the platforms."270 of used goods
sales are included as an integral part of the amendment directive. The OECD has responded uniformly to this
as necessary by enabling the reporting obligation to be extended with the help of an optional option
also for trade in goods271. Based on the tax administration's expert interview, goods trade
being included in the scope of the reporting obligation is basically a positive thing, even though it is a habit
In terms of income generation, selling rods is a very different activity compared to other activities
for women's activities.
The scope of the reporting obligation according to the amendment directive therefore differs in some respects
of the activities typical of the sharing economy, which have been discussed in legal literature
here as a whole. The content of the reporting is also different in relation to our taxation
for the planned expansion of the law on netting. In the following, a targeted evaluation of
substantive rights related to the material activity covered by hunk's reporting obligation
additional, informational and tax procedure issues.
266
For the first time, crowdfunding has been removed from the essentials of the annex to the directive proposal
listed in the recommendation of the European Council of 25 November 2020. Council of Europe 2020, p. 47.
267
PwC 2017, p. 19.
268
See e.g. Nieminen – Nykänen 2018a pp. 15-29.
269
VM123:00/2019, p. 13.
270 Ibid. p. 13.
271
OECD 2021, p. 16.
71
4.3.2 Leasing of real property
4.3.2.1 Information to be reported and the importance of improving access to information
According to the new Annex V, Section A, Subsection 8, Subsection a, of the Employment Assistance Directive, ra
an essential activity falling within the scope of the porting obligation is considered to be "immovable property,
including residential and commercial properties, as well as any other immovable property and py
giving sacking places for rent". The OECD model corresponds in scope to the change directive
definition of immovable property272. In the DPI XML reporting formula, fixed asset class
to belong to one of the following categories: office, hotel room, bed and breakfast,
house, apartment, caravan, campsite, boat, parking lot or other classification273. Moravia
from the point of view of the conclusion, it is not the duration of the lease agreement that is essential, but specifically the vessel
habituation; the reporting obligation applies to short-term rentals as well as platforms
longer-term rental arrangements for consideration made through The majority of platform-mediated
however, renting is aimed at a short-term need274.
The rental of immovable property must be reported as listed in subsection 4.2.3 above
in addition to the information, also the information on the basis of which the rented object can be identified. Ra
the porting platform operator must state the address of each property complex275 as well as
real estate registration number or a similar national identifier used in the member state, if it is available
in a way. The consideration paid must be reported quarterly as described above and
in addition, indicate the number of rental times per object and the number of days,
in which each real estate complex has been rented out during the reporting period.
Short-term rental of apartments and other fixed assets make up a significant part
of services mediated through platforms276. According to data published by the Tax Administration in
In 2018, there were 8,800 landlords engaged in short-term rentals, of which a third left
272
OECD 2020, p. 14.
273
OECD 2022, pp. 27-28. (Office, hotel room, Bed & Breakfast room, house, apartment, mobile home, campground, boat,
parking space, other.)
274
For example, in Rovaniemi in 2018, only 17% of properties offered for rent via Airbnb were available
more than 299 days a year. University of Lapland 2022.
275
The concept of a real estate complex is defined in the new Annex V, section I, section C, subsection 7 of the public
assistance directive and means "... all immovable property units located at the same street address, with the same owner and
offered for rent by the same seller on the platform." The property complex can therefore also mean an individual object, such
as a residential apartment share. The definition of DPI is similar in content and has been refined to cover, among other things,
hotel rooms, apartments, flats, houses and parking lots. OECD 2020, p. 20.
276
On the importance of the national level, see e.g. VM123:00/2019, p. 3 and PwC 2017, p. 19.
about kitty as part of the global platform economy, see e.g. Kaplan – Nadler 2015, p. 103 ss.
72
without declaring their rental income277. In addition, the increase in the popularity of short-term rentals increases the rent
the importance of income reporting. Short-term rental agreement made via platforms
the number of black people in Finland has increased by approx. 24% from 2018 to 2019278. Also the challenges
the material supports the materiality of the obligation to report rental income through platforms.
4.3.2.2 Platform-mediated rental and taxation
A typical object to be rented through the platform is one that is in the lessor's own use
an apartment or holiday home, the utilization of which is aimed at increasing during the owner's period of underuse.
Another key group is the owners of an investment apartment or other property for rent
for whom platform mediation offers an alternative based on a longer-term rental agreement
for the acquisition of income279. Consequently, the properties to be rented are either partially or fully used for income-
generating activities280. Renting is thus a question of rent
on the amount and deductibility of the expenses arising from the object. In some situations
the evaluation of the fulfillment of the characteristic signs of economic activity may also come into question.
The income obtained from the rental of an object for income generation and private use is the starting point
otherwise, income from a personal source of income and, based on TVL § 29.1, taxable. Legal
in practice, activities based on long-term leases have also been considered a personal source of income281. As a rule,
also a purely income-generating visit
of those employed, numerically from the short-term rental of several properties and apartments
the income received from it is, as a rule, taxable capital income in accordance with Section 32 of the Income Tax Act. Vii
therefore, the mentioned activity can be considered taxable as a business according to the Business Tax Act
especially in situations where the income of those who are exclusively involved in income-generating activities
there are several niches and the rental is accompanied by ancillary services related to apartment hotel operations.282 In
situations requiring a case-by-case assessment, the hallmark of business operations
information obtained through the reporting obligation can be used in the evaluation of the fulfillment of the requirements.
In particular, the total number of properties to be rented, the reported occupancy rates on the rental dates and
277
YLE 2019. See also YLE 2018.
278
Eurostat 2022b and Eurostat 2022c.
279
E.g. Haar 2018, p. 4 pp.
280
For example, in Rovaniemi in 2018, about half (48%) of the destinations offered via Airbnb were available
on the platform only 30-90 days a year. University of Lapland 2022, p. 1.
281
In the case KHO 1978 B II 564, the rental activity carried out by the foundation, which included 418 residential
apartments in a total of 10 residential buildings and 5 artist studios, was not considered a business. In case KHO 1975 B
II 513, the renting of nine residential apartments, five office apartments and office, storage, and printing premises located
in a single property was not considered a business activity.
282
Nieminen – Nykänen 2018a, p. 9, Nieminen – Nykänen 2018b, p. 45 and Tax Administration 2021d, sections 2.3.1 and
2.3.2.
73
the amount and distribution of income from the activity are essential information for the evaluation.
On the other hand, the reported information does not show ancillary services related to renting, whose pe
renting with rust could be considered to be an apartment hotel operation in nature. Mass
The information can thus be divided into landlords whose activities are carried out by means of automation
lyym can refer to professional accommodation. The information can be used as part of the case
individual assessment, but the question of the source of income for the operation cannot be directly resolved by their pe
with rust.
The question of the deductibility of income acquisition expenses is closely related to platform intervals
for second rental in situations where the rented commodity is used for income generation as well as for private use283.
The interpretation problem boils down to the assessment between the deductible living expenses284 based on TVL §
31.4 and the deductible expenses caused by maintaining and acquiring the income referred to in TVL § 29.1285. There
is neither expenditure item
defined explicitly, but the regulation concerning both is based on the aforementioned general
to regulations286. This inevitably leads to boundary-drawing problems in situations where spending is targeted
partly for private use and partly for an asset used for income-generating activities. I live
expenses are non-deductible in taxation, as well as related to income-generating activities
relentless interest payments. Deductible, on the other hand, are those related to income-generating activities
interest expenses and other income acquisition expenses. The nature of the expenditure is decided by the so-called subject
with a narrow interpretation, i.e. the starting point of the assessment is the purpose of generating income or we
the existence of income corresponding to noa. If the expenditure has been carried out for the purpose of earning income287 or
regardless of the original purpose, the expenditure accumulates later taxable income, ky
it is a deductible expense. If the sum between the expenditure and the purpose of generating income
action is not demonstrable and the expenditure has not generated taxable income, the expenditure must be regarded as no
invalid tax288.
In platform-mediated rental operations, the question of how to determine becomes central
partly for income-generating activities and partly for a rental property used outside of it
283
Nieminen – Nykänen 2018b, p. 48.
284
Living expenses arise regardless of income. It's about using the acquired income, not earning the income
expenses caused by Kimi. Myrsky 2014, p. 779.
285 Ibid. p. 779.
286
It is clear that the expenditure can be classified through three categories: living expenses, interest expenses and income generation
misexpenses. Nykänen 2008, p. 289.
287
Expenses originally made for the purpose of generating income, but related to an unproductive and unsuccessful project, are also
deductible. Nykänen 2017, p. 1.
288
Nykänen 2008, pp. 293-294.
74
the deductible and non-deductible part of the incurred expenses. A typical example can be
owns a vacation home that the taxpayer occasionally rents out with the goal of raising the property
utilization rate and thus utilize a resource outside of its own use in generating income.
In such a situation, the rental property is also completely unused from time to time. In these conditions
expenses that are caused solely by the acquisition of income can be considered deductible.
Such expenses can be, for example, for using a platform that enables renting
related expenses, such as the costs of the marketing material produced for the platform and the platform fee
the fees. Expenditures directly related to the rental may also arise among other things
for maintenance trips to the rental property and for the purpose of improving the user experience
from welcome gifts and other goods included in the contract and intended for consumption by the tenants.289
An interesting group is made up of those expenses that collectively target all of the above
to the mentioned situations of use of the rental property. These expenses are typically of a fixed nature, i.e
loi's expenses arise regardless of the intended use of the object at the time of examination. Such can
be, for example, company and financial consideration collected by As Oy or KOy290 and a rental property
water, electricity, waste management and insurance fees arising from maintenance and security.
If the use of the rental object is divided into personal use and income generation use, the air is empty
feeling, the division can be done computationally. With the reporting obligation, the platform must deliver
information about the days the object has been rented. Thus, the Tax Administration receives the information
on the scope and share of acquisition use in the reporting period. If the subject has been rents
for example 10 days291, the deductible portion is obtained by dividing 10/365, i.e.
2.7% of the entire year's expenses. Naturally, the Tax Administration needs information about the rented property
of the total amount of fixed costs related to it and directly related to the rental activity
basic expenses. These expenses are outside the reporting obligation, so the exact information
are available only from the taxpayer himself. Consequently, deductions are basically not possible
289
See Nieminen – Nykänen 2018b, p. 48.
290
The condition for the deductibility of paid financial consideration is that the payments are recognized as income in the company's accounting.
If the consideration is financed, the expenditure cannot be deducted from the rental income. In the latter situation, the
payments are taken into account when calculating the capital gain. In case KHO 2015:99, the taxpayer had acquired
KOy's shares in a holiday apartment located in the ski center of Lapland and had given the apartment to the company
providing accommodation services for subletting. The taxpayer had the right to deduct the consideration payments he
paid and KOy entered in his accounting from his other capital income.
291
Various short-term rental opportunities, for example, your own permanent apartment during your vacation
for leasing, see e.g. HS 2022.
75
takes into account taxation when delivering on the basis of actual expenses without the taxpayer
line will notify them. Thus, the income and expense of platform-mediated rentals
transfer to the pre-filled tax return is not immediately possible to review now
by means of the reporting obligation. Other options are discussed below.
4.3.2.3 Determining the deductibility of expenses incurred from the rental property
If the rental property is part of the time used for income generation, part of the time for own use and
part of the time is completely out of use to determine the deductible portion
three basic options available. From the point of view of the taxpayer, from the most favorable to the least favorable
presented, these interpretation options are as follows: 1) the income is considered deductible
in addition to expenses directly related to acquisition activities, also unused time
share of expenses, 2) the deductible share of idle time is divided by the deductible and -
to the unfit part in relation to the distribution of the object's income generating use and being vacant
during the review period, or 3) only the part that is eligible for deduction is strictly for income-generating use, and
the part for idle use is not deductible in its entirety.292 Follow
The basis for applying these interpretation models to platform-mediated rentals is discussed here.
Guidelines on how are available from the decision-making practice of the Supreme Administrative Court
the three interpretation options described above must be approached for the deductible part of the expenditure
when specifying. The basic starting point can be considered "either - or" thinking, in which case to apply
coming options 1 and 3. Especially the solutions KHO 2017:131 and KHO 13.8.2008 T 1881
based on this, it seems that the "middle way interpretation model" described above will not be applicable.
From the two remaining interpretation options, the one that is supported by the head of the rental property is chosen
underlying purpose of use in the review period293. Both solutions are also referred to in the Tax Administration's
in-depth instructions on the taxation of rented log cabins294.
If the main purpose of use of the rented object is considered to be income-generating use,
all expenses for non-use time are deductible. Principle expression
nee from the decision KHO 2017:131. Rental of a leisure apartment owned by taxpayer A
had been implemented through the rental broker's reservation system. A also had to make his own use va
292
See Nieminen – Nykänen 2018b, pp. 49-50.
293 Ibid. p. 50.
294
Tax Administration 2021d, section 4.3.1.2.
76
cracks in the system. In 2012, use was distributed as follows: own use 70 shifts
through, rental use 105 days and non-use time 190 days. They are responsible
the percentages are 19%, 29% and 52% in the same order. In the 2012 tax year
81% of the expenses for the rental object was considered to be deductible, i.e
the amount corresponding to rental use and being empty.295
In the older decision, KHO 13.8.2008 T 1881 relating to non-use time
part of the expenses was considered non-deductible. In the case, it was also free
the rental of an apartment during the period in which the shares of own use and rented use were in the review period
about one week and 19-21 weeks per calendar year. The rest of the time it was a leisure apartment
unoccupied. Although the vast majority of the site's usage time was aimed at generating income, the highest
the administrative court considered the expenses as a deductible amount only per rented time
part of the Therefore, for being empty outside of use and for own use, see above
the distributive share was non-deductible. In the decision, it was considered that leisure housing for rent
the shareholders of the group that gave it had control over the use of the object when it was not rents
here
Based on the solutions, it can be stated that in terms of the deductible portion of the expenses
what is essential is, firstly, the relationship between income-generating use and own use, secondly,
the activity of marketing trying to find renters and thirdly, the landlord's head
control over the use of the object.
The assessment of the relationship between rental use and own use cannot be considered a platform-mediated rental
296
as a well-suited solution basis for raus. The emphasis on the intended use depends
for example, in a leisure apartment, about the need for own use and rent demand. Reporting liability
the scope of the win includes several different target types, while in the above-mentioned oi
in keuska cases, both concern the temporary rental of a leisure apartment. Usage
the factors related to the temporal relationship of the returns differ significantly when the examination
i.e. for example, a permanent residence, business premises or for personal use owned by the taxpayer
acquired individual parking space. The use of these items is clearly divided into personal use
295
See Nykänen 2017, pp. 2-3.
296
77
and for income-generating use, and no time outside of use is generated. Caravans, camp
the use of pitches, boats and other rental properties intended for recreation ul
the total time is typically greater than the first mentioned. Reduced in my view
the division based on the number of days alone is not suitable for the main purpose of use
to damage, because the rental properties covered by the reporting obligation constitute use
a quite heterogeneous group in terms of external share and rentability.
The evaluation criterion of the main use regarding active marketing is applicable regardless of the platform
for reviewing its rental. The listing made on the platform is by nature a tenant finder
as active marketing done at dawn. However, the reporting obligation does not include information
the number of days the object has been visible to other users on the platform and through it
available for rent, but without reservations. Determining the marketing activity comes last
in hand to be done based on the report given by the taxpayer.
The third aspect raised in the decisions of the Supreme Administrative Court is related to the owner
opportunities to use the rental property during idle time. In the case KHO 2017:131 head
in the evaluation of the actual purpose of use, importance was given to the fact that the owner had to do
reservations for own use through the rental system. Obviously, this kind of feature
is not usual on major rental brokerage platforms. Missing feature
minen gives the object's owner unlimited decision-making power over the object's rental activity ul
of general use, which supports the assessment of private use as the main purpose of use
sen297.
Above, we have discussed the question of the extent to which the multi-use rental property referred to above
the fixed expenses are deductible from the rental income received by the lessor. Oh
based on the choice practice, the deductibility of expenses is divided according to the "either - or" principle,
in which case, in the event of Easter income-generating use, also at times outside of use, see above
The deductible portion of fixed expenses is a deductible expense. If the main use is
own use, the expenses are only deductible for the proportional share of income-generating use mu
either. In most situations, the main purpose of the object rented through the platform is
can be considered private use298. Three main points of view have been discussed
to determine usage and the applicability of these perspectives to the context of the sharing economy.
297
See Nieminen – Nykänen 2018b, p. 51.
298 Ibid. p. 52.
78
In summary, the determination of principal use is solely for reporting purposes
based on the information provided by the platform is not possible. With the reporting obligation, the vessel
they must provide information on the number of rental days in the review period, but not in detail
the share of possible idleness and own use that is outside of them. The information would be
in principle sufficiently precise, if the platform were obliged to specify the three different uses
the division between purpose. This would require the information collected by the platform to be reserved for own use
sist in a way that was given importance in the decision KHO 2017:131. His own question is,
how reliable such information would be. In most cases, making a reservation for own use
not doing so hardly prevents actual own use.
4.3.2.4 Deductible expenses of rental activities in the taxation procedure
As can be seen from the above, the correct amount of taxable income was determined by chance
sia for a taxpayer receiving income from platform-mediated rental activities is subject to interpretation
raist in terms of those expenses that are not directly aimed at generating income. Oh
in the literature, limited taxation of the income in question has been proposed as a solution
puta299. However, the proposal is problematic from the perspective of the narrowing of the tax base and the
neutrality of taxation300, and it can be considered an easy solution by the Karrikos, in which illegal tax
avoidance is regulated as legal301. On the other hand, flat-rate deductions are not associated with
hidden problems. The tax-simplifying effect of standard deductions can be pi
this as their strength302. In 2021, updated Verohalli regarding the taxation of rental income
non's instruction gives the possibility of making a fixed daily deduction, which, however
only covers the expense caused by the wear and tear of the furniture of an apartment rented furnished303.
However, the majority of the expenses incurred for the acquisition of occasional rental income remain taxable
to be calculated and reported separately by the obligee. In principle, the fixed deduction would be laa
can be extended to also cover other short-term platform-mediated rentals
rin expenses. The correctness of the fixed daily deduction requirement would be easy
can be clarified by comparing the taxpayer's declaration with the information provided by the platform operator
of the object's rental dates. A comparison could be made in automation. It is noteworthy that
299
Thus Määttä 2019, p. 147 ss.
300
301
Soil 2019, p. 147 pp.
302
303
If the room or apartment is rented furnished, the taxable person can deduct the so-called furniture deduction from the
rental income, which is intended to cover the wear and tear of the furniture. In case of occasional renting, the amount of the
furniture discount is 1.30 - 2.00 euros/day, depending on the size of the apartment. Tax Administration 2021d, section 4.1.
79
the platform operator is obliged to provide this information only if the information is available to him.
Taking into account the operational logic of the platforms offering the rental service, the availability of data is not
however, should become a problem for platforms.
Scheduling would in most cases eliminate the number of necessary deductions and the fixed us
for making calculations about their distribution304. As a parallel possibility, tax
the obligee would still be entitled to claim a deduction based on actual expenses. In addition
The formation of a daily fixed deduction as the main rule would eliminate the case point
the need to evaluate the main use of the network of properties rented through the platform
where and would enhance the possibility of automated delivery of taxation. Establishment of the responsible
which could be seen as a significant result of the covid-19 pandemic
increased in connection with the work room reduction305. If necessary, the amount could be reduced
appropriate with deduction amounts specific to the type of rental property. Categorization won
to do so following the breakdown of the DPI XML formula listed above. At the moment, the corresponding vä
henny type classification is used for the vehicle type-specific mileage of the travel expense reduction
as allowances, the amounts of which are confirmed per tax year by decision of the Tax Administration
of the amount of the expense reduction.
The formulaic reduction is not without its problems. A total of those consisting of rental activities
only a part of it is covered by platform-mediated rental. Use formulaic subtraction
which would also require suitability for ordinary work outside the platforms
iron activity. Because rental activity as a general concept covers a very wide range of different types of rent
gaps and expenses arising from the operation, must be universal and suitable for every situation
determining the daily deduction is very challenging. Use of formulaic reduction
finding out the eligibility would require extensive investigation work, as would the legislator's provision
country on the authorization rule, on the basis of which the Tax Administration could issue a binding decision in the case
its.
304
305
The study room deduction can be made on a three-step scale of fixed deduction (920, 460 or 230 euros in
the tax to be delivered from 2021) and the deduction covers the study room rent, furniture, light, electricity, heat
and cleaning. Alternatively, the taxpayer can submit a claim for deduction based on actual expenses as well. Tax
administration 2022e, section Planned workroom reduction in 2021.
80
4.3.3 Personal service
4.3.3.1 Information to be reported and description of the platform work
In the amendment directive, personal service means "... a service in connection with which
one or more persons do work independently or on behalf of the Unit, for which they are paid for a period of time or
based on the task and which is done at the user's request either online or physically outside the network
mostly after the platform has made it possible.” 306 In the OECD model, personally
the definition of its service differs in its wording to the extent adopted in the civil service directive
from the phone. According to it, the term refers to a time- or performance-based service that you perform
guaranteed by one or more individuals at the request of the user of the platform, unless the work in question is
purely ancillary to the rest of the transaction307. In both reporting standards, situations where the service provider is
employed by the platform are limited to the outside308. The concept
the scope includes services produced via the network as well as physically implemented deliverables. I don't
the most mentioned are, for example, electronic teaching and tutoring services, IT services,
data processing and content production309. Correspondingly, services produced outside the network
luja includes, among other things, transport and delivery services, home and gardening services and miscellaneous
construction services310. Therefore, the scope of the reporting obligation broadly includes platform intervals
other services whose sellers the platform operator reporting must provide in the subsection above
the information described in 4.2.3. The personal services reported in this context are used
shorter expression platform work.
There are several different platforms that provide services covered by the reporting obligation.
The Finnish Institute of Occupational Health maintains a list of platforms that provide platform work in Finland. Research
at the time of writing, the scope of the list is 49 platforms and the website offers the possibility to group
companies according to the following industries: professional services, household services, transport services and
construction services.311 Due to the limitations of this study, it is not possible to present
comprehensive analysis of the operating models and characteristics of all listed platforms. Here
in connection with the topic, the characteristics common to the platforms and typical in the industry are examined and
306
Subsection 11, section A, section A of the new V, Annex I of the Employment Assistance Directive.
307 OECD 2020, p. 11.
308
Section 8 of the new Annex V of the Employment Assistance Directive, Section A, Section 8, and OECD 2020, p. 11.
309 Beretta 2021, p. 34.
310 Ibid.
311
Institute of Occupational Health 2022.
81
through practices. In addition, the review is limited to platforms whose operation is based on money
to an exchange made in exchange for a contract or comparable performance312.
There are always at least three parties involved in doing platform work: the person doing the work (seller), the work intervals
platform and the client, i.e. the customer313. Upwork is an internationally strong example
from a platform work broker operating in a market position. The service can be defined as virtual
as an expert work platform, the goal of which is to bring together freelancers offering their work and
buyer in need of expert services.314 Agreed on contract or hourly work performance
after that, the customer pays the compensation to the payment system of the platform, from which the reward is forwarded
to the expert who performed the work after the buyer's approval of the work performance315. Upwork cal
other platforms that enable information work to be done via the network are a significant part
the growth of the platform economy. According to a survey conducted at the turn of the year 2017-2018, 37%
from Akava were ready to offer their expert work via platforms316.
Transportation services are the physical platform work that has often come up in the social debate
form. An example of a platform that mediates those services is Wolt, which maintains and develops
brokerage and distribution market of restaurant food, grocery and retail trade. I start the night
in the emerging messenger model, the workers have the opportunity to decide freely what they want to receive
and rejected assignments. Wolt emphasizes the ease of use of the platform and the earning model
flexible adaptability to different life situations. The platform currently has over in Finland
5,000 active messengers and the same number of pending messenger partner applications. Sending
according to the company's own announcement, the hourly earnings are on average 15 euros per hour plus value added
with the share of the additional tax.317 Another key aspect of the Tax Administration's access to information, also challenges
The form of platform work that came up in the material is passenger transport services. Global industry
the most significant player is Uber.
312
In this context, the limitation has been made on the basis of fiscal significance and does not comply with the scope
of the reporting obligation. According to the new Annex V, Section I, Section A, subsection 10 of the Employment
Assistance Directive, "Compensation means compensation in any form...", in which case it also includes, for example,
so-called time banking.
313
See Seppänen et al. 2019, p. 20.
314
Eurofound 2018, p. 5.
315
Seppänen et al. 2019, pp. 21-22.
316
Rouhiainen 2018, pp. 5-6.
317
Koski 2022, pp. 1-2.
82
Platform work based on content production has strengthened its position after the turn of the decade
of the network-mediated and physical platform services described above
alongside. This platform work model is based on the digital content produced by the seller, from which it was obtained
the consideration consists, for example, of buyers' paid monthly subscriptions or indirectly of advertising
of income. The earning model of the YouTube partner program consists of five channels, which
through, the seller producing content on the platform will have a financial benefit. These customs are
advertising revenue, channel memberships, accessory product shelf, super chat and super Stickers and YouTube pre
income from mium318. OnlyFans has been known for its content production in recent years
a platform whose operation is based on the seller's ability to produce on the platform and receive it for free
wool, that the content he placed behind the paywall.
4.3.3.2 Platform work and taxation
The income obtained through all the above-mentioned types of platform work can be significant319.
However, offering work on the platform is, in many cases, a side activity and complementary to other sources of
income, such as the acquisition of an additional job done in addition to studying320. In addition, the platform
the core nature of the work includes flexibility, which manifests itself in the salesperson's wide possibilities of influence
to the amount and content of the work you do as well as starting and ending the platform work at a low level
as a threshold. Thus, the group of platform workers covers a spectrum, which on the other end
are the recipients of occasional and small side incomes and the opposite full-time source of livelihood
sellers who procured on the spot321. Another characteristic of platform work is the changing position of the seller
in relation to the buyer and the platform. It is typical for platform work that the seller is not in tax law
in the considered employment relationship with the buyer, but the compensation received through the platform is paid by the platform
Salary according to EPL Section 13 or paid by the buyer in accordance with EPL Section 25.1 Section 1, mediated by the platform
according to work compensation322. However, in principle, nothing prevents the seller and the buyer
an operating model based on an employment relationship, where salary payment takes place in the awareness of the platform or
with contribution.
318
Google 2022, about ways to earn from the YouTube affiliate program.
319
See e.g. Beretta 2017, p. 6, and Forbes 2022.
320 Ks. Koski 2022, p. 1-2 and Nieminen – Nykänen 2018a, p. 13.
321
Nieminen – Nykänen 2018a, p. 13 and Vallas – Schor 2020, p. 2-4.
322
In the latter situation, the employment law status of self-employed people doing platform work can be considered unclear in
some places. See Rosin et al. 2019, section 2 and the Regional Administrative Agency 2021.
83
In practice, platform-mediated work seems to be divided into two operating models: 1) the seller does
contract with the platform, accepts platform-mediated work tasks to be performed and receives cor
vaus as salary paid by the platform323 and 2) an assignment relationship is formed through the platform
roads, for which the compensation paid is the seller's work compensation and the role of the platform is this work compensation
conveyance of the vaus minus any fee324. The first option limits
outside the scope of the new article 8 ac of the civil service directive, because the reporting obligation
the cream does not apply to those performing the work who are employed by the platform. The income of those belonging to this group
there has never been a challenge to the Tax Administration regarding the transfer of the recipients' income information
thanks to the general obligation to inform about the wages paid and the income register. I know
the access problem is related to the group of platform workers who do not work in an employment relationship
to the platform connecting the seller and the buyer, but the creator of the platform also does not carry out activities under
as complying with his duty of care, duly applied to the registers, business or
as a professional. The interview material supports this limitation.
Consequently, the question of whether the compensation received as other than wage income is central
the taxation must be submitted according to TVL, or whether the work compensations received from doing the platform work are
be considered in all respects in accordance with the Act on Business Income Taxation (360/1968, EVL)
as a business or professional activity belonging to the misala?325 As a follow-up question, mi
The responsibilities between the seller, the buyer and the platform are divided between the payment or forwarding of compensation
in connection with?
According to Section 2.1 of the Business Tax Act, the business and professional activities carried out by the taxpayer mod
get a source of income for business activities. In the established taxation procedure, income distribution is
made for business activities, income generating activities and hobby activities. The connection of the foundation work
where the definition of business and professional activity needs to be met and thus the boundary drawn
between income-generating activities and business activities. The decision must be made on a case-by-case basis
and the source of income must be determined based on the general characteristics of business activity. Tax Administration
according to the instructions on the subject of the castle, these characteristic features are: 1) profit motive, profit
pursuit, 2) financial risk, 3) operational independence, 4) scope of operations, 5) operational
323
The Seure platform is an example of a platform service that applies this operating model. See Club 2022.
324
Urakkamaailma and Helpdor are examples of platform services that apply this operating model. See Contract country
air 2022 and Helpdor 2022, section 1.1.5 and 10.2.
325
See Nieminen – Nykänen 2018a, p. 13. See also Määttä 2019, p. 151 ss.
84
"
planning and 6) continuity of operations.326 Furthermore, it is stated that It could be an organ
artificial operation, even if some characteristic is not clearly fulfilled." If the action does not meet
hallmarks of business activity, but it is carried out for the purpose of generating income, it is considered a taxable
income-generating activity according to TVL327. Legal document
it has been considered in jallis that the platform work income received as occasional side income only belongs to
exceptionally, to the income source of business activities328.
If the platform work income is continuous and regular, it can still constitute a business
my source of income. This is especially true in situations where the income in question is the taxpayer's only income
or main source of income. In addition, in borderline cases it has been considered justified to give weight to the
taxpayer's own view of the nature of the activity.329 Also the Value Added Tax Act
(1501/1993, AVL) on the possibility of a euro-denominated limit similar to § 3, a cautious
favorable opinions330. In principle, setting a corresponding lower limit to simplify the vessel
it would be possible to draw the line between the economic activity of the Tattúna and the income-generating activity. Chassis
taking into account the diversity of the work, there is a relationship with the euro-denominated border draws related to taxation
duttava with a reservation due to their possible effect limiting economic activity331. In summary, let's state that the
starting point in platform work income is their belonging
According to TVL, it is included in other taxable income, but in business activities
cannot be considered exceptional. This view is also supported by the Tax Administration
instructions regarding income received by personal customers from blogs, vlogs and social media channels, according to which
the income in question must be reported in OmaVero in the step "Other income" under "Income acquisition
activity" or on paper form 11 - Income acquisition activity332.
326
Tax Administration 2019c, section 2.1.
327
Tax Administration 2019c, section 2.3.
328
Nieminen – Nykänen 2018a, p. 14. 329 Ibid.
p.
14.
330
In the communication of the European Commission (European Commission 2016b), the threshold values to be determined to identify a
professional operator are described as follows: "Threshold values formed in a sensible way can be a useful reference value and help to establish a
clear regulatory system that benefits non-professional service providers."
In the same context, however, the sectoral specificity of the threshold values has been emphasized. The mentioned lower limit according to Section
3 of the AVL is not industry-related.
331
Cf. European Commission 2020b, pp. 2-3.
332 Tax Administration 2022f.
85
4.3.3.3 Deductible expenses related to platform work
The comparability of platform work to work based on a long-term employment contract has been discussed above
for paid work. A mutual comparison of these two ways of earning income from earned income is mie
also from the point of view of the deductibility of income acquisition expenses. Less natural ones
the starting points for these are discussed in subsection 4.3.2.2.
The most important income-generating expense related to platform work is the compensation retained by the platform or paid
to the platform for the use of the platform333. This item of expenditure is covered by the reporting obligation, so the information is
usable as such in calculating the amount of taxable income. Other platform work
the related income acquisition expenses are similar in nature to salary income; for example
in information work done via the network, the working space and information connections are emphasized
related expenses and in physically implemented work, the trips to the place of work have mer
comprehensive in the formation of expenses caused by the acquisition of income. A common start for everything
there is a need for tools for work, although the intensity of the need varies significantly for different types
between platform jobs and within work tasks334.
Deducting the typical expenses caused by the acquisition of salary income is formulaic
made with the income acquisition deduction according to Section 95.1 TVL. The deduction is made ex officio
in the employee's taxation, in the amount stipulated in the relevant legal section, but if true
those expenses exceed the amount of the standard deduction, the taxpayer can claim income acquisition
reduction of mis-expenditures based on actual expenses. You cannot get an income acquisition deduction
from other than salary income, so a worker's compensation recipient who does only platform work does not Benefit
from that deduction in earned income taxation335. The person responsible for the income acquisition deduction
the introduction of tea reduction in connection with platform work can be justified by the same cal
with wisdom336. Most of the platform work incomes do not involve income acquisition expenses that don't
would be structurally comparable to wage income expenditure. In addition, an income source
the deduction generally applies to wage income, and the number of wage earners is irrelevant
to the amount or granting of the deduction. For those who follow the same way of thinking, there is no fixed deduction
333
334
For example, the most important work tool for a platform-mediated passenger transport service is a car, while
the needs of a person doing expert work via the network are at least limited to a laptop computer. Social media
content production requires at least a basic smartphone, while producing technically high-quality content requires
considerable AV equipment.
335
Storm 2014, pp. 783-784.
336
86
it would be necessary to tie exclusively to salary or platform income. The reduction would remain unchanged,
if the taxpayer receives not only basic income but also "ordinary" wage income.
In this context, the benefits of the fixed reduction are the same as those of the above short-term income
those presented in connection with raus. Potential disadvantages, on the other hand, are related to the diversity of platform work
and to the variation in the activity of the income earners participating in it. In practice, yes in automation
a fixed deduction would lead to a partial tax exemption for platform work income, which can be
still be critical of the goal of neutral taxation. One look at both
a solution model that takes into account the angles could be fixed for each sector or even for each platform
reduction, the amount of which would be tied to the average income generation in the segment
costs. The chainsaw and lumberjack deduction of Section 94 TVL has also been presented as a solution
percentage-based deductions based on thematics337. A percentage-based reduction of approx
would keep the formality of the procedure, but take better account of the taxpayers doing the platform work
individual situations; once a year selling their services through the platform and weekly
those who earn additional income would not be in an equal position with regard to the amount of the deduction, such as tel
again in the situation of fixed formulaic reduction. Thus, percentage-based less
nys's justice perspective would be more effective than a fixed reduction in platform work
manageable. However, the percentage-based reduction is questionable, if the review is ulo
will also experience the salary that falls within the scope of the fixed income acquisition deduction
recipients. In this case, platform workers who receive the right to a percentage-based deduction would be unequal
in that position in relation to fixed income acquisition deduction wage earners.
4.3.3.4 Light entrepreneurship and platform work
Above, the three actors integral to platform work have been named: the seller, the platform and the buyer. So
the so-called phenomenon of light entrepreneurship brings a fourth actor into the analysis. In this subsection
discusses the connection between platform work and light entrepreneurship in legal literature and research
in the light of the expert interview as material.
The concept of a light entrepreneur is unstable. It is considered to refer to an activity that is in the nature of
entrepreneur-like, but the invoicing of the offered performance is provided by a third party
to answer. This invoicing service still pays the person who did the work a salary338.
337 See Nieminen – Nykänen 2018a, p. 14. What is relevant in the context is the principle behind the reduction, not the
amount of the reduction in relation to the actual expenses.
338 Check - Härkönen 2020, p. 28.
87
In addition to the attached definition, an operating model is marketed under the name of light entrepreneurship, where ul
the third party sets up a y-ID for the customer (i.e. the worker), registers him as appropriate
to the registers of the Tax Administration and takes care of the preparation of tax returns related to business activities339.
In light entrepreneurship, it's all about building commercial starting points
of the service through which the work compensation is generated as a salary or related to the work compensation
taking care of tax and other obligations is outsourced to the professional or business operator
to a third party. For clarity, this study will refer to both where applicable
to the operating models described above with the concept of light entrepreneurship. Paid exclusively by salary
the model based on it is specifically referred to with the expression invoicing service.
The interview material supports the notion of a connection between light entrepreneurship services and platform work
from that. However, light entrepreneurship and platform work are two separate phenomena. Reportage
in terms of the obligation, using the invoicing service has two key effects. First
from the point of view of the reporting platform operator, the reportable seller is the billing service, no
doer of the work. Accordingly, the platform announces that it has paid compensation to the billing service since
in terms of taxation, it is an employee of the invoicing service. The second effect is the first
overlapping with. The invoicing service must inform the seller of the income register of the salary they paid
until. If the service provider neglects to notify the income register, inform the platform operator
country, it is not possible to connect the information to the actual person performing the work, i.e. the actual compensation
to the recipient.
In terms of the whole, the administrative burden increases when using the invoicing service
with the result that income is declared twice in one performance-reward chain. I don't
the platform operator reports the information about the personal service in accordance with the reporting obligation
and later the invoicing service makes an appropriate notification in connection with the salary payment
to its income register. At the same time, the paid work compensation is transferred directly to the pre-filled tax return
to this transferable form, because it is a salary. An invoicing service to pay the salary
also needs an up-to-date tax card and thus the procedure makes regular taxation more efficient
in addition to delivery, also advance collection. From this point of view, the Tax Administration
will benefit from the growing popularity of invoicing services. The situation can be illustrated
339The operation is comparable to accounting office services. For example, the OP group offers a service based on that
operating model. See Cooperative Bank 2022.
88
with an extreme example where all platform work would be done using invoicing services. In that case, ask
also about the availability of the information provided based on the reporting obligation as part of pre-filling
based taxation procedure would become irrelevant.
The situation is not as straightforward in ke, based on applying for a y-ID on behalf of the seller
in entrepreneurship. In this operating model, the light entrepreneurship service often functions as work compensation
as its intermediary. In the information provided by the reporting platform operator, the recipient of the payment is
light entrepreneurship service, but reportable seller performing the work. Payment forwarding service
because of this, the usability of the reported information decreases, because based on it, the recipient of the payment and thus
the taxpayer cannot be verified with the same certainty as in the situation where the declared
the reportable seller is also the holder of the financial account that received the payment. I will report
nor does tivelvoite apply to the light entrepreneurship service virka, which acts as an intermediary for workers' compensation
on the basis of the new Annex V, Section I, Section A, Subsection 1, Subsection a) of the auxiliary directive340.
Based on the interview material, the demand for light entrepreneurship services is increased by what they offer
ease and ease. For the distinction between salary and work compensation and payment of compensation
related practices and obligations are perceived as difficult. Benefit of services in the sharing economy
doing so brings one more intermediate step and affects the appropriateness of the reporting obligation
to realization. The core of the services is based on the promise of tax declarations and other obligations
for taking care of mushrooms on behalf of the seller, so that the light entrepreneur can focus on providing deliverables
without worrying about administration. If the light business service provider fulfills its obligations appropriately
therefore, the Tax Administration's access to information is secured. I saw this despite the reporting obligation
the data can be considered less usable in these respects.
In the interview material, the challenges related to light entrepreneurship emerged as the limit of taxpayers
internal taxation expertise and thus awareness of the obligations related to different modes of operation. Haas
based on the match data, it can be recommended that the Tax Administration investigates the possibilities on Wednesday
for the continuous development of the cooperation with vytyrtyrtyjys services. Also on Wed
The obligation imposed on vytrepreneurial services to inform their customers of certain standardized actions
340
According to the section, "The expression platform does not include software that enables exclusively the following activities
without interfering with the performance of the essential activity in any other way: a) processing of payments related to the essential
activity."
89
nan's basic principles and make sure of the competence of the person starting light entrepreneurship in key aspects
would raise tax-related ambiguities. This would benefit both the light entrepreneurship association
tax payers, light entrepreneurship service providers, as well as the Tax Administration.
4.3.4 Sale of goods
4.3.4.1 Sale of goods in the sharing economy
According to the new Annex V, Section I, Section C, Subsection 9 of the Employment Assistance Directive, "Goods
let's try any material possessions.” The definition of DPI is consistent with the wording of the directive341.
Conceptually, the sale of goods is thus widely covered by reporting obligations
within the district, including the sale of both used and new goods. Reportable
however, the number of sellers has been limited as described above based on the sales volume;
in accordance with the new Annex V, Section I, Section B, Subsection 4, Subsection d of the Civil Service Directive
performed no more than 30 essential activities in the reporting period and of these essential activities incl
a seller who has received a maximum of EUR 2,000 in consideration is excluded from the reporting obligation.
The limits are consistent with the OECD DPI342. Unlike renting real estate
in connection with the sale of goods is not set in either of the reporting standards
an upper limit bound to the lyme for the concept of a reportable seller.
Trade in goods is the largest sector of the sharing economy in Finland. One
a non-professional platform-mediated commodity carried out by private individuals
the expression peer-to-peer exchange is used in this context. It is typically ve
movable property that was in the debtor's own private use, such as hobby and means of transportation
selling goods, clothes, furniture, machines or electronics via an online platform
with that. In addition to the sale of used goods, your handicrafts can also be traded
those or other goods manufactured by the seller. The size of the Finnish peer-to-peer market is estimated to have
been around 480 million euros in 2018343. To engage in peer-to-peer trading
341
OECD 2021, p. 17.
342
OECD 2021, p. 16.
343
Kappan liitto 2018. The peer-to-peer trading market can be considered to have grown significantly in recent years.
According to information published by the Tori service, which is part of the Schibsted Media Group, the value of the trade
conducted on its platform alone in 2020 was a total of 729 million euros. Tori 2022.
90
The services that have been launched are, for example, Tori.fi, Huuto.net, and for social media platforms Fri
structured groups that are typically profiled by commodity type or geographic area
with the help of344.
4.3.4.2 Peer-to-peer trading and taxation
Peer-to-peer trading can be considered relatively unproblematic in terms of material income taxation
as a form of sharing economy345. If the activity is carried out non-professionally, i.e. business
If the characteristics are not met, the formation of the seller's taxable income is assessed as income
based on the provisions of the tax law. Therefore, the sales gains received by the seller are taxable
capital income in accordance with the main rule of Section 45 of the TVL and correspondingly deduction of capital losses
removed as stipulated in Section 50 TVL. Provisions are made for calculating the amount of capital gain
TVL § 46. According to Section 46.1 TVL, "Calculate the amount of profit received from the transfer of property
guarantee in such a way that the acquisition cost of the asset is deducted from the transfer price
the total amount of the expenses for acquiring the part and the profit." The same section of the law provides
along with the calculation method related to the actual acquisition cost and costs, also the so-called han
on using the kintameno assumption: "A taxpayer other than a corporation or open company
or the amount to be deducted from the transfer price received by the limited partnership is always
at least 20 percent and, if the transferred property has been with the transferor for at least 10 years
time, at least 40 percent of the transfer price."
Typically for peer-to-peer trading, the sales gains and losses the seller receives from his activities are as follows
I often made moderate amounts. Tax exemption for small capital gains of this kind
it is regulated in two steps. According to Section 48.6 TVL, capital gains are exempt from tax
insofar as the combined transfer prices are a maximum of 1,000 euros per tax year. Provided
the traded goods belong to ordinary household chattels, capital gains
are tax-exempt up to the amount of 5,000 euros according to TVL Section 48.1, Section 2. If you give up
the commodity belongs to household chattel or the commodity is a person in a comparable way
in specific use, the disposal loss provided for in Section 50.2 TVL is reduced in its entirety
sneeze-free. In the same context, minor disposal losses are also a regulated deduction
invalid as far as the combined acquisition of assets transferred during the tax year
expenses are a maximum of 1,000 euros. The reporting obligation of the new Article 8 ac of the Employment Assistance Directive
the delimiting lower limit of 2,000 euros is placed between the relevant national euro limits. Thus
344
Yrjölä et al. 2018, p. 307.
345
91
therefore, peer-to-peer transactions may be excluded from the set of reported data,
from which the capital gain is regulated as taxable in the Income Tax Act. The fis of the situations in question
however, its significance can be considered minor346. Correspondingly, the goods to be reported
sales may include tax-free capital gains from the transfer of movable property
allowances included in the scope.
From the point of view of the taxation procedure, the most important challenge of taxation of income received from peer-to-peer trading, viz
depends on the calculation of the amount of capital gain for two reasons. First, report information to your payment
the amount of consideration can only be considered reliable in a situation where the platform has participated
for forwarding the payment. Of the platforms specialized in peer-to-peer trading preferred by Finns, e.g
as a sign, Tori does not offer a service related to the payment transaction, but the seller agrees to handle the goods
about payment and payment method directly with the buyer. Therefore, the final purchase price and announced
the uniformity of the purchase price presented in the application cannot be reasonably ensured by the platform.
If the purchase price is paid in cash in connection with the change of ownership of the asset,
the service provider's only chance to be sure of the amount of the consideration paid is to request a sale
remains and / or the buyer to confirm the realized purchase price afterwards. In this context, to the seller
there may be an incentive to report a significantly lower amount of consideration than actually realized.
A proper calculation of the amount of the capital gain is not possible at all if the capital is surrendered
the price is not known or the amount of compensation is uncertain. Second, the selling price
in addition to finding out, determining the capital gain in a reliable way requires information about the trade
the acquisition cost of the item and the amount of expenses incurred in obtaining the profit. Which
the aforementioned information is also not covered by the reporting obligation.
Peer-to-peer trading cannot be based on the information obtained based on the reporting obligation
the resulting disposal profit or loss is determined by the basis of realized prices and expenses
in the way, because in addition to the possible transfer price, we do not receive any information about the object of the transaction
withdrawal and other possible deductible expenses. It is also clear that reporting
even the information on the amount of consideration paid, which is verified by the platform, is not a sufficient starting point as such
section for the determination of capital gains arising from peer-to-peer trading. Based on the information, there is a legacy
in theory, it is possible to calculate the capital gain based on the acquisition cost assumption according to Section 46.1 TVL
346
A taxable capital gain of up to 2,000 euros may be excluded from the reporting obligation, if the seller operating on the
platform has given away movable property that is not part of the household movable property and the acquisition cost of
the property in question was zero euros.
92
using. Based on general life experience, the target of peer-to-peer trading is typically one
a commodity that has been in private use, the acquisition cost of which has been significantly higher than the asking price on the platform
higher than that. In addition, the ownership periods of the handed over goods may not be reasonably certain
doable. Therefore, the formulaic calculation of capital gains is based on the acquisition cost assumption
dynänte is not a realistic option.
Another key interpretational income tax issue in peer-to-peer trading is related to the issue of scope;
if the capital gain is determined reliably, the question of capital gain still needs to be resolved
ton's taxation or the deductibility of the capital loss347. A small capital gain
The limit of 1,000 euros according to Section 48.6 TVL is unambiguous, but the concept of movable property
in Section 2 of TVL Section 48.1 is open to interpretation348. Partly used for income generation, ol
lee, and from the point of view of the movable property transferred for consideration, a question arises
on the conditions under which it is considered to be a tax-free capital gain or a non-deductible loss as
referred to in the law349. Four solutions have been presented to the question of interpretation
paa: 1) interpretation according to the main use, 2) distribution of the profit or loss on the transfer yk
in the ratio according to sityis and income-generating use, 3) even small private use means
the commodity belongs to household chattel, or vice versa 4) cannot be interpreted as chattel chattel
a commodity that has been used even for a small amount of income.350 The last-mentioned interpretation
has been considered to be in conflict with the legislator's goal of exempting from tax relatively
profits received from the transfer of goods that were in private use351. Notary public
it has been considered that the principle of main substance could be considered as a cautious interpretation recommendation
application of the idea. Thus, the main use of the asset transferred in a peer-to-peer transaction
purpose at the time of its ownership would determine the asset's belonging to household chattels and thus to
possible taxation of the profit in a multi-use situation. The issue of fiscal mer
depreciation reduces valuable movable property, such as cars, boats, other vehicles
delimitation of works and works of art categorically outside the scope of the concept of movable property352.
In situations open to interpretation, the question of belonging to household chattels is rat
lane as clerk processing in connection with the submission of taxation.
347
348
In addition, the limited amount of household furniture must be taken into account, which can raise the question of display.
349
350
351
Ibid. p. 56. The authors point out that when the law was enacted, the phenomena of the sharing economy were not customary.
Consequently, the preparatory material for the law does not take a position on the situation where the transferred asset has had several
uses during the ownership period. See HE 200/1992 p. 38.
352
See HE 200/1992, p. 38.
93
In addition to calculating peer-to-peer sales profits, the allocation problem must also be solved,
because the information included in the reporting obligation is not clear in all situations
answer about the actual recipient of the transfer profit. The thoroughness of the reporting described above
as required by the procedures, the platform must ensure that the financial account identifier belongs to the report
for a reliable seller, but the platform cannot be assumed to have secure means in all circumstances
about the ownership relationship of the object of the peer-to-peer trade and the person who announced it for sale. This cal
such a situation can arise, for example, when the goods' sales notification is prepared by oneself
with their identification information, the spouse or other related party of the actual owner of the commodity
quarter. The situation is similar to rental income from short-term rentals
with targeting, but unlike in goods trading, real estate, housing stock or other
the owner of the short-term rented object and thus the recipient of the rental income is basically il
on the basis of the obligation to reprimand, known to the Tax Administration353.
4.3.4.3 Other points to be considered in income taxation of peer-to-peer trade
The income tax issues of platform-mediated peer-to-peer trading have been dealt with in relation to sharing
to the information covered by the reporting obligation of lousa platforms. Reportable data shows
that a sale for consideration has taken place, but they are not sufficient to show that it has taken place
amount of betting profit or loss. In addition, the tax of national legislation will be resolved
questions of interpretation of restrictions related to freedoms and uncertainty related to targeting
the factors. Therefore, the importance of the data is minor for the automation and pre-filling of taxation
from the point of view of the tax procedure of the house. However, the information can be considered useful as clerical work
in connection with the submission of taxation.
Based on the reported data, it is possible to potentially select am
incomes referring to mat-like buying and selling activities, which are not the basis of the reported data
can be linked to a business or profession known to the Tax Administration. Intermediate
the concept can be further enhanced by taking into account the profiling and specialization of different platforms
in a peer-to-peer environment. For example, the vehicle trade is associated with a commonly recognized and published
the risk of the gray economy that comes up from time to time in the discussion354. The vision of income taxation
from a corner, the practice is often black sales. In this case, the vehicle trade is conducted privately
353
Tax administration 2021e, section 3.2.2.
354 See e.g. YLE 2011.
94
neglecting and neglecting the accounting of purchase and sales activities and the appropriate tax declaration
giving ten. Often this kind of purposeful action fulfills the objectively accurate
as a tent, the characteristic features of business activity and the vehicle trade is practiced as a stable source of income
on purpose. If the vehicle is sold to private individuals, not to the buyer
may not be ready to verify the correctness of the seller's information and registry entries
desta.355 However, as an industry, vehicle trade is not immune to developments where the purchase
and sales announcements are transferred from the bulletin boards of local stores and the pages of local newspapers e.g
for roped platforms356. As explained above, it is justified to use automatic
data processing for the pre-processing of the data reported by the platforms through which the
there is a risk of illegal sales associated with fraudulently exchanged commodities.
In summary, it can be stated that the information covered by the reporting obligation is not there
sufficiently sufficient and free of uncertainty factors that it would be possible to take based on them
taking into account the transfer profits formed from the platform-mediated comparison trade, the private person's tu
in withholding tax as part of the taxation procedure based on a pre-filled tax return. Instead
the information can be effectively used for the control measures performed as clerical work
denting and thus combating the gray economy, for example in connection with the vehicle trade.
4.3.5 Leasing a means of transport
4.3.5.1 Rental of means of transport in the sharing economy
As a rule, the central principles of the sharing economy include what is in the individual's own use
utilization of the van resource for income-generating use with the help of a peer-to-peer rental service. Phenomenon
has been discussed in general in the sub-chapter on leasing immovable property and the same
the basic principles also apply in key aspects to the rental of means of transport. Also income tax
ro issues are largely common with real estate leasing. In this section
let's focus on the characteristics of renting means of transport. Any means of transport
renting out is part of the new Annex V, Section A, Section 8, Subsection d of the Civil Service Directive
according to the subsection, an essential activity falling within the scope of the reporting obligation. DPI is consistent
in its reporting obligation in relation to the official assistance directive357.
355
Kamunen – Hurmerinta 2020, p. 4.
356 Cf. Beretta 2021, p. 31.
357
OECD 2021, p. 16.
95
Examples of platforms operating in Finland specializing in peer-to-peer vehicle rental
services include GoMore and Skipperi. The former offers the possibility to an individual
den gives the car he owns for rent at the price he determines and at the time he determines
tin. Through the skipper, the owner of the boat has the opportunity to offer the boat he owns for short
for early rental. The services vary depending on the type of transport, for example, the service to
in implementation methods and rental time pricing, but the core principle of the services is uniform. Wed
renting older means of transport, such as bicycles, is possible, for example
Via the Hygglo service.
4.3.5.2 Platform-mediated rental and taxation of means of transport
In accordance with the above, also the central support for the rental of means of transport through the platform
the withholding tax issue is related to the calculation of taxable income. Review in the light of the reporting obligation
however, this question cannot be directly equated to the above-mentioned immovable property
for renting out, because the content of the reported data is the means of transport given out for rent
narrower in connection with it.
First of all, the information given about the rental of a means of transport does not include similar use
information enabling the determination of the work rate, such as a report on renting fixed assets
sufficient number of days. Therefore, the use-based determination of deductions is not
possible with equivalent accuracy on the basis of data obtained in a straightforward manner. Interpretation
asset is related to the definition of a single essential action, because it can be rented on the platforms
The rental periods of the available properties vary from the platform's operating principle and the lessor's
depending on the tresses. For example, in the Skipper service, a typical pricing period is a week, when
on the other hand, in the GoMore service, the pricing is per day. The formation of the lease is
in both services, a single contractual technical event, in which case it can be justified
consider each contract, regardless of its duration, to constitute a single essential toi
i go Therefore, the distribution of the use of the means of transport between rental use and own use
cannot be reliably and clearly determined based on reported data alone. Tax
In terms of the automation of the procedure, the lack of detailed information leads to the situation
to the one where, in connection with the rental of immovable property, presented on the basis of days, las
a fixed fixed deduction is out of the question. The main principle is the strength of fixed deductions
however, they are among the benefits discussed in connection with the rental of fixed assets
96
with358. In renting vehicles, a model based on a fixed deduction could be used
for example, a percentage deduction from the income received from renting a means of transport. Pre
as a sign, a percentage P2P deduction calculated from fixed gross income has been applied in Belgium359. The
procedure would not exclude the option of the taxpayer to alternatively deduct th
expenses incurred.
However, it is undeniable that the expansion of the reporting obligation to also cover the country of use
in days or kilometers would open up more detailed possibilities for fixed v
for the determination of hennys. For example, the highly automated operating model of the GoMore service
enables the recording of the number of kilometers per lease agreement. Rental turn
the length of the drive that is part of the season is also important as a pricing basis for the service.
The technical prerequisites for collecting utilization data therefore exist, and at least on part of the platform
Kilometer information about operators is already covered by active and systematic recording.
Another challenge is related to the typical heterogeneity of the means of transport offered for rent
to the extent that also the real estate and others from the object of the rental to its owner
the structure of support expenses varies. The materiality of this variation is evident every year, for example
on the published decision of the Tax Administration on the amount of the travel expense deduction360 and on the
decision of the Tax Administration on tax-free compensation for travel expenses361. This type variation is not possible
not taken into account in the reporting obligation; for example, in the DPI XML reporting formula lii
The information reported on the rental of fishing equipment does not include its own record regarding the rental
I do for identifying the type, unlike when reporting on the rental of fixed assets. Thus
therefore, it is not clear from the information content which means of transport is being rented362. Thus, the fixed
the application of the deduction would weaken the average of taxpayers who rent different means of transport
Chinese uniformity, regardless of the nature of the deduction as a kilometer-based amount
or as a calculated percentage of the result.
358
Cf. Nieminen – Nykänen 2018a, p. 10 and Nieminen – Nykänen 2018b, p. 49 ff.
359
Beretta 2017, p. 9.
360
For example, in the taxation to be delivered from 2021, a deduction of EUR 0.25 can be made for trips taken by car and a deduction of EUR 0.16 per kilometer for trips
taken on a motorcycle or light four-wheeler. 361
Reimbursement per trip for travel expenses considered tax-free in the taxation submitted for 2022
a jettu kilometer varies between 0.11 euros and 1.16 euros depending on the vehicle.
362
OECD 2022, p. 29.
Separation is theoretically possible based on the platform from which the reported information was received. For example, the
previously mentioned GoMore is focused exclusively on car rental at the time of writing the research.
97
5 CONCLUSIONS
The update of the Employment Assistance Directive and the corresponding OECD reporting model in terms of key content
significantly host the Tax Administration's access to information for taxpayers in general in Finland
from platform-mediated sharing and gig economy income received by natural persons. The person
however, there are several uncertainties involved in calculating the taxable income received and each
the essential action falling within the scope of the reporting obligation has its own special characteristics. Ve
when evaluating the automation of the breeding procedure and the usability of the data, it must be emphasized that
even before the reporting obligation comes into force, the taxpayer has the obligation to notify the
his income to the Tax Administration. Thus, the reporting of all presented in this study
and the actual necessity of means to make the taxation procedure more efficient depends on
how voluntarily taxpayers report the support they receive from the sharing and gig economy
lots On the other hand, the background is also affected by the continuous effort to tax what is happening in the Tax Administration
to make work more efficient in a fragmented income structure environment. Finland does not have that problem
on the edge alone. The pursuit of automation of the taxation procedure at the level of salary income has been started in Eu
in the groove even before the release of reporting frameworks like DAC7 and DPI. For example, Belgium
set the goal already in the mid-2010s to "initialize the collection of corresponding income data
from louden operators, than employers deliver from their employees."363
Based on the reporting obligation, comprehensive and reliable information will be obtained and shared
from income generated in the gig economy. However, deduction information is not covered by the obligation;
the question arises as to how natural losses are taken into account in the taxation procedure
nys and are the amounts of the taxable capital gain reliably calculated? The efficiency of the taxation procedure
ways to increase six have been presented in the legal literature, such as formulaic subtraction
solutions and euro-denominated tax exemption thresholds based on them. Formula deductions can
can be seen not only as a longer-term solution but also as an intermediate step from which we will continue to
to the deductions based on expenses, the technical val. of data collection and reporting
during the development of the An example of the capabilities brought by technological development is
Statement given by the Finnish Taxi Association in the preparation phase of the legal project VM123:00/2019, where
the possibilities of using a locator installed in taxi cars to collect information related to business activities were
highlighted364. About the income of the platform economy and the acquisition of this income
363
Beretta 2017, p. 9.
364
Jaakola 2020, p. 2.
98
it is possible to increase the amount of data collected and reported on incurred costs
in the future, which still enables more detailed and efficient automation
tion in the taxation procedure. Tax exemptions for income from the sharing and gig economy
instead, they don't appear as a real solution to the problem, because "The answer would be carrion
stating that "...illegal tax avoidance would be legalized."365 Such decisions
the imposed tax exemptions are also problematic in terms of the neutrality and broad tax base principles of
taxation adopted in Finland, as well as the taxation of net income366.
The four essential activities covered by the reporting obligation differ significantly from each other
in terms of how straightforward the information is available. Most information is reported to ki
I do property renting. Combining this information with a schematic daily
to further reduction would, in my view, allow the inclusion of information on the pre-filled
for the tax declaration. An almost similar situation is in the taxation of income from platform work, where
the formulaic deduction would be comparable to the wage earner's income-earning deficit
and can be justified by the similarity of the cost structure. Instead of means of transport
the income from renting is such a non-uniform group that there is no decrease in formulaic ones
can be effectively utilized without jeopardizing the equality of taxpayers. Tax
In terms of the automation of the sales procedure, the most challenging phenomenon of the sharing economy is peer-to-peer trading. Round
Calculating the amount of profits and assessing their tax liability requires such ta
period-specific data, the collection of which with sufficient reliability from the platforms is a utopian dream
cream. However, the information reported on peer-to-peer trading has a significant potential benefit
in combating the country's economy.
All information covered by the reporting obligation, regardless of the essential action, can
daan will be used as comparison data. If the size of the sharing and gig economy continues to grow last year
as in previous years, the role of automation must inevitably be increased. This is how the Tax Administration must act
to ensure the proper implementation of the statutory task and handle as clerical work
in order to keep the number of tax cases realistic in terms of resources. In summary, we can
also state that the reporting obligation transfers the taxation of sharing and gig economy income
the focus of the challenges from obtaining information to taxation procedural issues.
365
Soil 2019, p. 149. See also and Beretta, 2017 p. 9 pp.
366
Nieminen – Nykänen 2018a, p. 10
99
APPENDICES
Appendix 1: Interview framework A.
Interview questions 10/11/2021
Master's thesis, Juho Ranta-Ylitalo University of Tampere
Interview questions with introductions:
1. The operating environment of the digital economy is changing rapidly and new phenomena are emerging
at an accelerating pace. The value of the services provided by the platforms can be predicted to grow and
expand into new fields in the coming years.
a. What are the key challenges associated with this change from the perspective of the Tax Administration
from the mast?
b. How does the directive reform and the reporting obligation it sets respond to this rest
right?
c. What does the development of the digital operating environment and the platform economy generally
mean from the perspective of the Tax Administration's need
for information? d. From the point of view of the Tax Administration, what are currently the most
significant services offered via digital platforms and what are the prospects for future development?
2. The operating models of the platforms vary greatly. In addition, the business models of platform economy
operators are very flexible and easily changeable.
a. How flexible a framework do you see the reporting obligation set by DAC7, i.e. how widely do you
see the directive enabling responding to the development of the digital platform economy from the
point of view of income taxation?
3. The implementation of the directive will change the income tax situation from the perspective of platform
economy operators, their customers, and the Tax Administration. a. What aspects do you see as
significant in this change? b. What obligations does the directive impose on
the Tax Administration?
c. What obligations does the directive impose on taxpayers?
d. How important is a reporting standard like DAC7 and/or OECD MRDP

can be considered from the point of view of the Tax Administration?
4. Information obtained based on the reporting obligation set by the directive. And the usability of this information.
a. When the data are
of sufficient quality to be used as prefills
in the notification procedure based on the tax return?
100
b. What kind of capabilities DAC7 and/or OECD MRDP create this kind of information
for receiving?
c. What are the key challenges associated with this perspective?
5. The scope of DAC7 covers trade in goods on digital platforms and the OECD MRDP includes an option to bring
trade in goods under reporting obligations and data exchange. a. How do the information needs of the Tax
Administration differ when
looking at goods
den trade separately from trade in services?
b. What kind of challenges are associated with situations where the service and goods form the said
the ugliness?
6. What are the shortcomings and corresponding strengths of the directive and the OECD MRDP from the point of
view of the information needs related to the phenomenon of the digital platform economy of the tax administration?
101
Appendix 2: Interview framework B.
Interview questions 27.1.2022
Master's thesis, Juho Ranta-Ylitalo University of Tampere
Interview questions:
7. What arrangements relevant to tax legislation are referred to as light business

with jyys term?
8. How do you see the relationship between the platform economy and the phenomena of light entrepreneurship?
9. How has the rapid development of the platform economy affected the appearance of themes related to light
entrepreneurship in the Tax Administration?
10. Based on your experiences, how would you describe the awareness of small entrepreneurs about their own tax liabilities
about your profits and your own tax position in relation to the company that offers light entrepreneurship services?
11. How could the fulfillment of the tax obligations of light entrepreneurs be promoted?
12. Is light entrepreneurship as a phenomenon associated with awareness or lack of awareness of the meaning of the
prepayment penalty?
13. What kinds of messages related to the development of the platform economy and light entrepreneurship phenomena
hungry challenges you recognize from the point of view of the Tax Administration?
14. What kind of advice and guidance on platform economy and light entrepreneurship
do you see it as beneficial for all parties? (Tax administration, platform operator, service provider).
15. France, for example, has legislation in force that requires platform operators to communicate in detail to service
providers their individual tax obligations. How do you feel about this kind of procedure?
16. Does the guidance and advice given by the Tax Administration reach the target group?
17. In your work, have you encountered recurring problems related to the platform economy or light entrepreneurship, ve
essential challenges in terms of completing the race?
18. What other phenomena or essentials related to the platform economy and/or light entrepreneurship
aspects do you recognize from a taxation point of view?
102

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COMPLIANT WITH DAC7 DIRECTIVE

Faculty of Management and Economics

SUMMARY................................................. ................................................ ................................................ ...I

TABLE OF CONTENTS................................................. ................................................ .....................................II

SOURCES................................................... ................................................ ................................................ ........IV

ABBREVIATIONS................................................... ................................................ ................................................XIX

PATTERNING................................................. ................................................ ................................................ ......... XX

TABLES................................................... ................................................ ................................................ .. XX

1 INTRODUCTION................................................. ................................................ .......................................... 1

1.2 Key concepts and limitations of the study ............................................. ............................ 4

1.3 Research questions and methodology .............................................. ...................................... 8

1.3.1 Research problem and research questions ............................................. ........................ 8

1.3.2 Research question-specific method choices ............................................. ...................... 9

1.3.3 Description of methods............................................... ................................................ ............ 10

1.4 Research structure and key sources................................................. ............................... 12

2 DEVELOPMENT OF INTERNATIONAL TAX INFORMATION EXCHANGE............................................ ....... 14

2.2 OECD as a developer of bilateral information exchange agreements ........................................... 16

2.2.2 Global Forum and TIEA agreements ......................................... ..................................... 17

2.3 Multilateral data exchange agreements ................................................. ................................ 18

2.3.1 Effectiveness as a prerequisite: early multilateral information exchange agreements .............. 18

2.3.2 CMAAT and MCAA............................................ ................................................ ......... 19

2.4 Development of information exchange in the European Union................................................... ......................... 20

3 CURRENT STATUS AND CHALLENGES OF INFORMATION ACCESS................................................. .......................... 22

3.1.2 Obtaining information as a prerequisite for correct and timely taxation................... 23

3.2 Obligation to declare income................................................... .............................................. 26

3.3 Obligation of the third party to provide information................................................... ............................................. 28

3.3.1 Background and starting points............................................. ................................................ ...... 28

3.3.3 The third party's special obligation to provide information............................................. ...................... 34

3.3.4 Comparative data check............................................... ................................................ .... 36

3.5 Information needs based on law preparation and interview material............................................ 44

3.5.1 Legislative preparation VM123:00/2019............................................ ...................................... 44

4 CONTENT OF THE DIRECTIVE AND AVAILABILITY OF DATA............................................ ........... 56

4.2 Reporting procedures ................................................... ................................................ .......... 57

4.2.1 Who reports................................................... ................................................ ................. 57

4.2.2 Who is reported on ............................................. ................................................ ..... 62

4.2.3 Information to be collected and reported on all relevant activities................................... 63

4.2.4 Exchange of data, effective implementation and purposes of data use.................. 68

4.3 Essential actions................................................... ................................................ ................... 70

4.3.2 Leasing of immovable property............................................. ........................ 72

4.3.2.2 Platform-mediated rental and taxation............................................ .......................... 73

4.3.2.4 Deductible expenses of rental activities in the taxation procedure...................... 79

4.3.3 Personal service............................................... ................................................ 81

4.3.3.1 Information to be reported and description of the platform work.......................................... ..................... 81

4.3.3.2 Foundation work and taxation............................................ ................................................ .. 83

4.3.3.3 Deductible expenses related to platform work............................................ ......... 86

4.3.3.4 Light entrepreneurship and platform work ........................................... ........................................ 87

4.3.4 Sale of goods............................................... ................................................ ......... 90

4.3.4.1 Sale of goods in the sharing economy............................................ ........................ 90

4.3.4.2 Peer-to-peer trading and taxation............................................ ............................................. 91

4.3.4.3 Other points to be considered in income taxation of peer-to-peer trade................................ 94

4.3.5 Leasing a means of transport............................................ ............................. 95

4.3.5.1 Rental of means of transport in the sharing economy............................................ ........ 95

4.3.5.2 Platform-mediated rental and taxation of means of transport....................................... 96

5 CONCLUSIONS................................................... ................................................ ........................ 98

APPENDICES................................................... ................................................ ................................................ ...... 100

AOA 3379/2018 Deputy Ombudsman's decision: The tax administration's

Aucejo 2018 Aucejo, Eva: Towards an International Code for administrative

Beretta 2017 Beretta, Giorgio: Taxation of Individuals in the Sharing Economy.

Eurofound 2018 Employment and working conditions of selected types of

European Commission 2016a Communication from the Commission to the European

European Commission 2016b Communication from the Commission to the European