Dear Customer,
Eurobank Cyprus Ltd (“the Bank”) would like to inform you that the EU Directive 2018/22 of 25th May 2018 (commonly referred to as “DAC6”) has amended the EU Council Directive 2011/16/EU on administrative cooperation in the field of taxation, as regards to the mandatory exchange of information in relation to reportable cross border arrangements, in order to provide more transparency and fairness in taxation.
DAC6 requires all EU-based intermediaries (including the Bank), or taxpayers (under certain circumstances), to disclose certain cross-border arrangements. The reporting of the aforementioned arrangements starts with the arrangements that were implemented on or after 25th June 2018. Reporting will be made to the respective domestic tax authority (in our case the Tax Department of Republic of Cyprus), who must then share the information with the tax authorities of all other relevant EU Member States.
Due to the COVID-19 pandemic, on 24th June 2020, the Council of the European Union adopted an amendment to the original Directive that provided for the postponement of the reporting deadlines. The amendment gave Member States the option to delay reporting deadlines and many countries, including Cyprus, have implemented this deferral.
On 4th June 2021, the Cyprus Tax Department announced an additional extension for filing information on reportable cross-border arrangements. The new submission deadline for DAC6 has been extended to 30th September 2021, for the following cases:
- Reportable cross-border arrangements carried out between 25th June 2018 and 30th June 2020, that initially had to be reported by 28th February 2021.
- Reportable cross-border arrangements carried out between 1st July 2020 and 31st December 2020, that initially had to be reported by 31st January 2021.
- Reportable cross-border arrangements made between 1st January 2021 and 31st August 2021, that had to be submitted within 30 days from the date they were made available for implementation or were ready for implementation or the first step in the implementation has been made, whichever occurred first.
- Reportable cross-border arrangements for which secondary intermediaries provided aid, assistance or advice, between 1st January 2021 and 31st August 2021 and had to submit information within 30 days beginning on the day after they provided aid, assistance or advice.
The Bank, as an EU intermediary, will comply with any related laws/guidelines/decrees to be issued and will proceed with its own assessments in order to report cross-border arrangements that fall under DAC6.
The full text of the DAC6 is available
here.
For any further clarifications and/or information, please submit your enquiry to the following email address
DAC6@eurobank.com.cy.
Thank you for your cooperation.
Eurobank Cyprus Ltd