Transparency is essential to developing fair and sustainable tax systems that ensure people’s access to public goods. After Luxleaks and the Panama and Paradise Papers, the EC has been vigorously driving legislation to enhance tax transparency. Most recently by amending the Directive on Administrative Co-operation in (direct) Taxation to require tax intermediaries to report cross-border tax planning schemes that meet certain criteria, or hallmarks. It covers all EU based tax advisors regardless if they are part of a regulated profession or sector.

This factsheet aims to support professional accountants in applying this new Directive, that will enter into force on 25 June 2018. Member States have until 31 December 2019 to transpose these rules as a minimum standard; they may extend its provisions to reflect local circumstances. This means that the implementation of the rules may diverge considerably across Europe.