The reporting obligation for platform operators and private sellers in e-commerce

Renting out your home via Airbnb or selling old treasures on eBay classifieds - these platforms have become an integral part of our everyday lives. However, since the Tax Transparency Act came into force in 2023, things have changed for many private sellers. The obligation to report transactions to the tax office also affects private sales via online platforms. Find out why this is the case, whether you are affected and what consequences it may have for you in our latest blog post.

Tax transparency for platform operators and private sellers

The Platform Tax Transparency Act (PStTG) follows the EU Directive 2021/514 and regulates, among other things, the reporting obligation of platform operators such as Amazon or eBay to report private services and sales transactions to the Federal Central Tax Office by January 31, 2025. Operators of digital platforms are therefore also obliged to report information on the income of private individuals to the relevant tax authorities, provided that the requirements for this are met.

There is now an automated exchange of information between EU member states so that foreign providers can also be included in this process. But when does the Tax Transparency Act actually come into effect? And are you also affected as a private seller?

Does the Tax Transparency Act affect me as a private seller?

As a general rule, all commercial users and retailers must be reported by the platforms to the Federal Central Tax Office with an overview of the sales made. This mainly affects platforms such as eBay, Amazon, Airbnb and Facebook Marketplace. However, there are certain basic requirements that must be met by private sellers before the data is forwarded to the tax office: The Tax Transparency Act only applies to private sellers if more than 30 sales and more than 2,000 euros in sales revenue have been generated per calendar year. In this case, the following seller data is reported to the tax office:

• Name
• Address
• Bank details
• Tax ID
• Sales revenue, as well as fees and commissions of the respective platform

Exceptions

As is so often the case, however, there are also exceptions here: even if more than 30 sales or more than 2,000 euros in sales proceeds were generated, it is usually a question of the type of items sold. This is because items for everyday use, such as electronic devices or cars, may continue to be sold tax-free by private sellers via the platforms. The term "daily use" is to be understood here in a figurative sense; regular use of the items is sufficient, even if the legislator does not define this in more detail. Items that are not used on a daily or regular basis, such as a coin collection or antiques collection, are likely to fall under the taxation regulation.

In any case, as a private seller, it is advisable to keep records and provide information on the date, purchase/sale price, as well as costs and profit with corresponding evidence. The reporting obligation of the respective platform operators must be met by 31.01.2025.

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