Report on tax in the sharing economy

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The Directorate of Taxes has delivered a report to the Ministry of Finance on the sharing economy. The report includes a feasibility study related to the reporting and payment of tax for participants in the sharing economy.

The purpose of the study is to look at the fiscal challenges and opportunities of the phenomenon that in many contexts is called sharing economy. Sharing economy is not a particular type of activities for tax purposes, but used as a collective term for a new type of economic activities where sales take place through an intermediary. A common feature of the activities is that the sales of goods and services are communicated between service provider and customer through the use of standardized mobile services on the Internet.

In the feasibility study the Directorate of Taxes describes among other things alternative concepts for reporting, such as digital support for self-reporting and automatic third-party reporting from the intermediary to the authorities. The Directorate of Taxes outlines some possibilities for regulatory changes that are believed to involve a simplification for sharing economy participants and others with similar activities and revenues.