Tax data sharing requirements under DAC7
What is DAC7?
DAC7 refers to an EU-wide directive (EU Council Directive 2021/514 of 22 March 2021) which requires online platforms to collect and report information of the sellers on the platform to the tax authorities annually.
Wolt is an online platform and in the scope of the DAC7 obligations. This means that in order to comply with DAC7 regulations, Wolt is liable to collect and verify specific information on merchants* and courier partners** and report this information to the national tax authorities within the EU. The reporting of the data for the previous calendar year takes place in January each year.
* Restaurants and retailers selling on the Wolt platform
** Individual / freelance couriers as well as fleet companies / couriers registered as a business entity providing delivery services via the Wolt platform
What information is collected?
The information that Wolt is required to collect, verify and report to the tax authorities depends on whether you are an individual or a legal entity.
Individuals
First and last name
Primary address
Taxpayer identification number (“TIN”) or, in the absence of a TIN, the place of birth
VAT identification number, if available
Date of birth
Bank account number you use to receive payouts from Wolt platform
Name of the bank account holder in case it is not your own account
Legal entities
Legal name of the entity
Primary address
Taxpayer identification number (“TIN”)
VAT identification number, if available
Business ID (business registration number)
Bank account number you use to receive payouts from Wolt platform
Name of the bank account holder in case it is not your own account
In addition to the identifying information above, Wolt is liable to report the number of transactions you have made on the platform during the year, the amount of fees you have earned through the platform as well as the amount of any fees, commissions or taxes withheld by Wolt.
Wolt’s liability to report the data concerns all our merchants and courier partners operating in EU countries if they have earned EUR 2.000 or more through the platform or have completed 30 or more transactions during the calendar year. After Wolt has reported the data to the tax authorities, you will also be notified of the reported information.
What if I don’t provide the information to Wolt?
In case you do not provide the required information to Wolt despite our reminders within 60 days from signing your contract, DAC7 regulation requires Wolt to withhold your earnings. The payouts will be released after you provide the necessary information to Wolt.
Where can I find more information about the topic?
For further details on DAC7, please see Council Directive (EU) 2021/514.