DAC7 Rules for Creators & Gig Workers 2026
A practical, plain-English guide to what platforms must report, what independent creators and gig workers should keep, common pitfalls, and step-by-step compliance for 2026.
What is DAC7 (quick)?
DAC7 is an EU directive that requires online platforms to identify sellers and report their annual income from certain activities to EU tax authorities. Even if you work outside the EU, you can be affected when your buyers, audience, or rentals are in EU countries or when platforms apply one global process.
For creators (e.g., YouTube, Patreon, Substack, stock-photo apps) and gig workers (e.g., ride-hailing, food delivery, micro-task apps), DAC7 mainly means: platforms will collect your details (tax IDs, addresses, bank info) and share revenue totals with tax offices. You must ensure your identity and income data are correct and your own books match what platforms report.
Who is affected in 2026?
You are likely in scope if you:
- Earn through platforms (ad revenue, tips, memberships, paid downloads, course sales).
- Provide services via apps (rides, deliveries, freelancing, micro-gigs) to EU customers.
- Rent out property or equipment via a platform (homes, rooms, parking, gear) located in the EU.
- Sell goods through marketplace platforms to EU buyers.
You may be out of scope if you:
- Operate privately without using platforms (direct bank transfers, private invoices only).
- Sell fewer than platform thresholds for “occasional sellers” (varies by platform).
- Have purely non-EU activities with no EU nexus (check each platform’s policy).
What do platforms report under DAC7?
| Data point | What it means for you |
|---|---|
| Identification (name, address, DOB/incorporation, tax ID, VAT where applicable) | Make sure names match your ID and bank; mismatches trigger holds or incorrect reports. |
| Platform income totals (gross revenue, fees, refunds, commissions) | Maintain your own ledger to reconcile gross vs. net. Keep fee statements and payout reports. |
| Bank account details | Use business accounts if possible; avoid mixing personal and business transactions. |
| Permanent establishment / residency indicators | Be clear about where you are tax-resident. Update when you relocate. |
| Property/location data (for rentals, services) | Keep address proofs or geolocation evidence for where services were performed or property is located. |
Records creators and gig workers must keep
Income
- Payout statements per platform, per month.
- Ad revenue, tips, memberships, affiliate earnings.
- Chargebacks and refunds documentation.
Expenses
- Platform fees, commissions, payment processing costs.
- Equipment, software, marketing, training, travel.
- Home-office or studio costs (where allowed).
Identity & tax
- Tax IDs, VAT registrations, residency certificates.
- Contracts with platforms and brand partners.
- Copies of KYC submissions and approval emails.
Common problems & practical solutions
Problem #1: Name or address mismatches across documents
Small differences (middle name, abbreviations, old addresses) can cause payout holds or reporting errors.
- Make your legal name identical across passport/ID, bank, and platform settings.
- Upload fresh address proof (utility bill, bank statement under 3 months).
- If you use a stage name, keep it only for display; tax profile must show your legal name.
Problem #2: Mixing personal and business transactions
When personal and business funds are mixed, expenses are missed and tax filing becomes risky.
- Open a dedicated business bank account (or a separate personal account used only for income).
- Route all platform payouts there; pay business costs from the same account.
- Export monthly bank and platform CSVs and reconcile.
Problem #3: Relying on platform totals without your own ledger
Platform dashboards change; historical detail may be limited or corrected later.
- Keep a simple spreadsheet ledger with columns for
Date,Platform,Gross,Fees,Refunds,Net,Notes. - Attach invoices/receipts for top expenses each month.
- Reconcile quarterly; fix deltas immediately with platform support.
Problem #4: Cross-border confusion (non-EU seller, EU audience)
Many creators outside the EU still see DAC7 checks because their platforms sell to EU customers.
- Answer KYC requests even if you are non-EU; it prevents holds and incorrect assumptions.
- Ask platforms for “country-of-customer” reports to validate EU nexus and VAT exposure.
- If you move, update residency in every platform the same week.
Problem #5: Ignoring VAT when selling digital products
DAC7 is about reporting, but VAT rules apply separately for digital goods and subscriptions.
- Check whether the platform collects VAT for you; if not, consider VAT registration or OSS/IOSS options.
- Store proof of customer location (platform usually provides two non-contradictory pieces).
- Price products to include taxes and fees; show tax lines on invoices where required.
Timeline & deadlines (2026)
January–March 2026
- Platforms finalize 2025 seller data and issue statements for your records.
- Update any changes in legal name, address, bank, or tax numbers.
- Collect VAT evidence for EU digital sales (if applicable).
April–September 2026
- Quarterly reconciliation: match your ledger to platform statements.
- Fix discrepancies with support; keep ticket IDs and emails.
- Prepare documents for your 2026 tax returns (local deadlines vary).
October–December 2026
- Year-end clean-up: chase missing invoices, export all CSVs.
- Archive ID proofs and contracts in a secure folder with off-site backup.
- Plan next year’s tax payments and VAT filings.
Rolling deadlines
- Respond to platform KYC/verification within 7–14 days to avoid payout holds.
- Keep proof of tax residency; renew expired documents promptly.
How to comply, step-by-step
- Unify identity: Standardize your legal name and address across ID, bank, and every platform.
- Open a dedicated account: Route all payouts to one account; pay business costs from it.
- Build the ledger: Use a monthly spreadsheet; import platform CSVs and bank statements.
- Capture documents: Store invoices, fee schedules, and KYC confirmations in a cloud folder.
- Reconcile quarterly: Investigate differences between your ledger and platform totals.
- Check VAT exposure: If you sell digital goods to EU customers, confirm how VAT is handled.
- Keep a notes file: Track support cases, corrections, and refunds with dates and amounts.
- Work with a pro (optional): An accountant familiar with platforms can save time and penalties.
Short examples
Creator selling memberships + digital downloads
You receive €4,800 in memberships and €3,200 in downloads. Platform collects VAT on memberships but not on downloads. Keep separate lines in your ledger and store monthly VAT evidence provided by the platform. Your DAC7 totals should equal platform gross (before fees); your tax return uses net profits after expenses.
Gig worker doing food delivery and ride-hailing
Two apps pay out weekly. Export both CSVs. Tag costs like fuel, phone plan, bag maintenance. At quarter-end, your gross across both apps should match what each platform will later report; keep screenshots of earnings summaries.
Quick FAQs
Does DAC7 mean I owe extra tax?
No. DAC7 itself is about reporting to tax authorities. Your tax due depends on your local laws (income tax, VAT). Accurate records protect you.
I am outside the EU. Why did my platform ask for EU-style info?
Platforms often apply one global process. If your audience or customers are in the EU, DAC7 checks are routine and help prevent payout holds.
What if platform data is wrong?
Open a support ticket, keep the case ID, and save corrected statements. Add a reconciliation note in your ledger.
DAC7 creator & gig worker checklist (save this)
- ✅ Legal name/address identical across ID, bank, platforms
- ✅ Dedicated payout account active
- ✅ Monthly CSV exports from every platform
- ✅ Ledger columns for gross, fees, refunds, net
- ✅ VAT handling confirmed for digital goods
- ✅ Copies of KYC submissions and approvals
- ✅ Quarterly reconciliation done and documented
- ✅ Offline/online backup of critical files
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