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Etsy DAC7 in Germany
 

Hi guys, everyone! :yar: I'm new in Etsy, so I'm a little confused. I have a store in which I sell digital goods. I see how Etsy itself automatically deducts taxes and commissions from my sales. Now I get a message from Etsy that from 2024 Etsy will start transmitting information to the tax service, and something about DAC7. He asks for an update tax information. I'm very confused. Does this mean that in addition to taxes that Etsy deducts automatically, I will also need to pay taxes to other tax authorities? Or is what Etsy deducts from my sales already considered a tax deduction? By the way, I'm from Germany. Merry Christmas to everyone!!:yar:

Re: Etsy DAC7 in Germany
 

Welcome to the forum OP - all the best as you master stealth method :thumb:


Following your thread for replies since I haven't dealt with DAC7

Re: Etsy DAC7 in Germany
 

The tax Etsy is deducting NOW came from your buyer,and remit to the tax authority of his country,it has nothing to do with you .
It saves you the hassle of trying to remit to his country of residence.yourself.
As for DAC7,someone will come along and chime in

Re: Etsy DAC7 in Germany
 

Yes, exactly, unless requirements related to tax information, there won't be any changes if you are already reporting your income
Fees for digital goods are pretty high honestly comparing to the prices of goods

Re: Etsy DAC7 in Germany
 

They sent you the message because you have made over 2k euros or achieved 30 sales this year. It's weird that I didn't receive it despite having more than 30 sales, but I'm still part of this

Re: Etsy DAC7 in Germany
 

And I thought we were talking about a DAC Digital to Analog Converter for Xmas, darn...

Re: Etsy DAC7 in Germany
 

For 2023,we are still held to 200 transactions AND $20k.
Questions-
for those who sell on multiple venues,and none meet the above criteria,does it mean there is no 1099K and so he can get away with reporting on 1040?
Unless he is being audited and they question all the incoming deposits.

Re: Etsy DAC7 in Germany
 

All Europe sellers which sell more than 30 items on 2024 the Etsy will be send Report to Tax Authorities (you in Germany). ATTENTION if you not declare you income until now. Me I close all me store on Ebay to avoid problems with Tax Authorities.

Re: Etsy DAC7 in Germany
 

it is unknown whether closing the store or not confirming data such as TIN is enough to avoid the report - I hope it will be enough

Re: Etsy DAC7 in Germany
 

I sent you a PM

Re: Etsy DAC7 in Germany
 

Guys good evening.
Any news regarding this?