DAC7 FAQ

What is DAC7?

DAC7, also known as the "Directive on Administrative Cooperation", is a legal framework designed to improve administrative cooperation related to taxation within the European Union. It aims to strengthen tax transparency and cooperation in the digital economy by ensuring that income from digital platforms — including holiday rental platforms like Holidu — is declared to tax authorities.

DAC7 focuses particularly on the exchange of information related to income earned through digital platforms. To support proper taxation and reduce opportunities for tax evasion, DAC7 requires holiday rental platforms such as Holidu to collect and share certain financial information with tax authorities about hosts and properties booked through their system.

What is the purpose of DAC7?

DAC7 aims to strengthen tax transparency and cooperation in the digital economy by ensuring that income from digital platforms — including holiday rental platforms — is declared to tax authorities. This helps prevent tax evasion and supports fair taxation of income earned through such platforms.

For more information regarding DAC7, visit the German Federal Ministry of Finance website.

Does Holidu report data regarding my properties and bookings directly to Tax Authorities?

Yes. As a company based in Germany, Holidu submits the DAC7 declaration to the German Tax Office (Bundeszentralamt für Steuern). The German Tax Office is then responsible for forwarding this data to the tax authorities of the relevant EU Member State(s) where your properties are located.

What information is Holidu required to report to the Tax Office under DAC7?

Under DAC7, Holidu must report the following details:

Per host:

• Full name or company name
• Date of birth (if individual)
• Address
• Taxpayer Identification Number
• Company registration number (if applicable)

Per property:

• Complete property address
• Total payments received
• Number of bookings
• Total commissions (including VAT)
• Any applicable taxes

Do you pass on information from all bookings to the Tax Office?

Yes — Holidu is required to do this under DAC7. The data reported includes the revenues earned from all confirmed bookings, along with property-specific details such as total payments, number of bookings, commissions, and taxes. This information is submitted to the German Tax Office, which then shares it with the relevant EU Member State authorities.

Do I, as a host, need to make a declaration under DAC7?

This depends on your legal relationship with the property. Only platforms offering intermediary services are required to make a declaration under DAC7. If you are an intermediary, you may need to make a declaration under DAC7. Please consult your tax advisor for further information.

Does DAC7 affect my income tax declaration?

DAC7 does not impact your income tax declaration, and you still need to declare your income as you normally would. Please consult your tax advisor for further information regarding income tax declarations and your specific tax obligations.

My property is located in the EU, but I am not an EU resident. Does DAC7 apply to me?

Yes. DAC7 applies to all properties located within EU territory, regardless of whether you are an EU resident or not.

What information does Holidu need in order to make the DAC7 declaration?

To make the declaration, Holidu needs:

1. Your Taxpayer Identification Number (TIN)
2. Your Commercial Registration Number (if you are registered as a company)

Where can I enter my TIN?

You can add your Tax Identification Number by following these steps:

1. Log in to your Holidu account
2. Click the menu in the upper right-hand corner and select "Account"
3. Scroll down to "Personal information"
4. Click edit on the "Billing information" section
5. Verify that the field "Tax identification number" is empty, then add your TIN, select the country, and save the changes

If you cannot see this field, you might need to mark the question "Do you have a valid EU VAT number?" as "No" (if you are not registered for VAT reverse).

Is it mandatory to enter my TIN?

Yes, this is mandatory. Holidu needs this information in order to make the DAC7 declaration to tax authorities.

I have entered my TIN, but it has not been accepted. Why is this?

The system checks the format of the ID number you have entered. If it is not accepted, the number you provided may be invalid or incorrectly formatted. Please verify the data and try again. For assistance in locating the correct format for your TIN, refer to the European Commission Taxpayer Identification Number lookup tool.

I manage the property as an administrator and I am responsible for declaring the property's income to the Tax Office under my name. Should I add my details or the actual property holder's details?

If you are responsible for declaring income and taxes for the property, please include your data for the DAC7 declaration.

I am registered as a company. Will Holidu report the DAC7 data under my personal name or my company's name?

If you are registered as a company, have indicated so in your Holidu account, and have provided your company ID number, Holidu will report the data under the company name. Otherwise, the data will be reported under the individual's name.

I am registered as a company. Do I need to provide any additional data?

Yes, hosts registered as a company also need to provide their business or commercial registration number in addition to their TIN.

I was previously registered as a company, but this is no longer the case. How can I change this in my Holidu account?

Please reach out to your Account Manager, who will help you change the status of your account. A migration may be needed. Once this is done, you can update your DAC7 data by following the guidance provided in this FAQ.

What are the penalties for non-compliance with DAC7?

If hosts fail to provide the required information, Holidu is required by DAC7 to freeze all future payouts until the information is provided. This ensures compliance with the legal requirements of the directive.

What should I do if my data changes in the future?

If your data changes, please update it immediately in your Holidu account. You can follow the same steps outlined in this FAQ to update your billing information and TIN.

My property is a boat. Do you still need my data for the DAC7 declaration?

Yes — if your property is a boat available for booking through Holidu, the DAC7 declaration is required for all bookings made through the platform.

Why does Holidu need to send this data to tax authorities?

Holidu is required by law to make this declaration under the DAC7 Directive. This is a legal obligation that applies to all digital platform intermediaries operating within the EU.

Why is Holidu sharing my personal information with the Tax Office?

Holidu has a legal obligation to do this under the DAC7 Directive. The directive requires platform intermediaries to collect and report specific host and booking information to tax authorities to ensure tax transparency and fair taxation of income earned through digital platforms.

If I deactivate my Holidu account now, will my data still be shared?

Yes. Holidu is required to report data for all bookings made through the platform, regardless of whether the account is still active. Historical booking data must be reported under DAC7 requirements.

Will Holidu use my tax information for any other purposes?

Holidu will only use your information where there is a legal obligation to do so. Your tax information will not be used for any other purposes.

Where can I find my Taxpayer Identification Number?

Your Taxpayer Identification Number (TIN) can be found in different documents depending on your country. The format and location vary by EU Member State. For detailed information on where to find your TIN, visit the European Commission Taxpayer Identification Number lookup tool, where you can select your country and find specific guidance on locating your TIN.