The rapid growth of digital trade has introduced new regulatory requirements. A key element is the Platform Tax Transparency Act (Plattformen-Steuertransparenzgesetz – PStTG), implementing EU Directive 2021/514 (DAC7) into German law. For sellers on digital platforms, understanding these rules is essential to meet compliance requirements and minimize tax risks.
The Platform Tax Transparency Act (PStTG): An Overview
The PStTG requires digital platform operators to report seller income to the Federal Central Tax Office (Bundeszentralamt für Steuern – BZSt) [1] [2]. This aims to increase transparency and ensure uniform taxation. Crucially, the PStTG introduces no new tax, but focuses on reporting and due diligence for operators [1]. These reports help tax authorities reconcile sales data.
While obligations target operators, they directly impact sellers. Platforms will request data like tax IDs; failure to provide this requires platforms to block accounts or withhold payments.
Reportable Activities and Scope of Application
The scope of application of the PStTG is broad and covers various economic activities. Relevant activities include, in particular, the rental of real estate, the provision of personal services, the sale of goods, and the rental of means of transport [1]. In the context of e-commerce, the focus is primarily on the sale of goods. The law defines a “platform” as any digital system that enables users to carry out transactions. This includes large marketplaces as well as smaller niche platforms, provided they facilitate transactions.
The De Minimis Threshold: When Sellers Are Exempt from Reporting
A key aspect for many sellers is the de minimis threshold (Bagatellgrenze) anchored in the law. When selling goods, an exception to the reporting obligation only applies if two conditions are cumulatively met: The seller must have made fewer than 30 sales during the relevant reporting period, and the total compensation received must be less than 2,000 EUR [1].
As soon as one of these limits is exceeded – meaning either 30 or more sales are made or the total turnover reaches 2,000 EUR or more – the platform operator is obliged to report. This regulation is intended to limit the administrative burden for micro-transactions while simultaneously ensuring that commercial or more extensive private activities are recorded. Sellers should therefore keep a close eye on their transaction numbers and turnovers on each platform used.
Deadlines and Due Diligence Obligations of Platform Operators
Reporting by platform operators occurs annually. The legal deadline for transmitting data to the BZSt is generally January 31 of the year following the calendar year [1]. This means that data for the past year must be reported promptly. In addition to reporting, platform operators have extensive due diligence obligations. They must verify the identity of the providers and ensure the accuracy of the reported information. For online sellers, this means an increased administrative effort during registration and ongoing maintenance of their account data on the platforms.
No New Tax, but Increased Transparency
The PStTG is not a new “platform tax” and creates no new tax liability [1]. Reported turnovers remain subject to existing tax laws. However, increased transparency provides the tax office with reliable data to verify tax returns. For commercial sellers, the material tax burden remains unchanged if sales were already declared correctly. Nonetheless, the PStTG highlights the need for proper bookkeeping.
Practical Conclusion and Recommendations
The Platform Tax Transparency Act marks a turning point in the monitoring of digital trade. For online sellers, it is advisable to adapt their internal processes to this new transparency. Ensure that all master data stored on platforms is up to date and matches the data held by the tax office. Accurate documentation of all transactions is essential. Since the tax classification of transactions can be complex, an individual review by a qualified tax advisor should always be carried out in case of uncertainty to do justice to the specific circumstances of the individual case.
