According to Law360, Officials from 22 jurisdictions have agreed to exchange information collected by digital platform operators through a global framework that would help countries tax income earned through the app-based gig economy, the Organization for Economic Cooperation and Development said on November 10, 2022.
The government officials signed a , or MCAA, that will allow jurisdictions to automatically exchange information annually regarding income earned through the gig economy, such as earnings from items sold through digital platforms, according to the Paris-based OECD. The jurisdictions signed the MCAA on Wednesday in Seville, Spain, during an annual meeting held by the OECD's Global Forum on Transparency and Exchange of Information for Tax Purposes.
Independent Workers Who Earn A Living On Them,
Have Proven Vexing For Governments To Track And Tax.
After beginningin 2019, the OECD in July 2020 issued that would require online platforms such as Uber and Airbnb to report the tax information of sellers on their networks.
Recommended rules to help countries this information were released in July 2021 by the OECD, which followed up in late March with for tax administrations. The organization noted at the time that its model rules were developed in response to calls for a global reporting framework for income arising from activities carried out on digital platforms, including accommodation, transportation and sales.
Be Visible To Tax Authorities Or Self-Reported
By Taxpayers," The OECD Said.
The OECD noted Thursday that 15 jurisdictions also signed that would allow them to share information collected from intermediaries that have identified arrangements designed to circumvent the organization's cross-border data exchange system for individual taxpayers' financial information. According to the OECD, the newly signed accord against CRS avoidance "will allow tax authorities to ensure compliance of both the taxpayers and the intermediaries involved in such arrangements and structures."
Have an IRS Tax Problem?
Marini & Associates, P.A.
Read more at: Tax Times blog