TaxBit Launches DAC7 Compliance Solution for Digital Marketplaces

NEW YORK, Oct. 12, 2023 /PRNewswire/ -- TaxBit, the leading tax and accounting compliance solution for the digital economy, announced its DAC7 compliance solution, designed to automate tax compliance for online marketplaces based in the EU or paying sellers in the EU. The newly launched offering, TaxBit DAC7 Compliance Solution, establishes a seamless data collection workflow for new and existing customers, streamlining the collection, storage, remediation of issues, and information verification, then generating the end-of-year report to EU member states.

In the ever-evolving digital economy landscape, TaxBit positions itself at the forefront, empowering businesses to navigate the intricacies of taxation with trust, accuracy, and compliance. Designed by CPAs and tax attorneys, TaxBit serves enterprises, financial institutions, and government entities with a mission to support the global economy through a single system of record that simplifies complexities and enhances transparency.

Aligned with the DAC7 regulatory framework, which mandates reporting from January 1 to December 31, TaxBit's DAC7 compliance solution is tailored to address reporting obligations due by January 31 of the subsequent year. With the initial requirement centered on 2023 data collection and the next generation of the 2024 report, this regulatory framework applies to all digital platforms with sellers in the EU, making TaxBit's DAC7 solution a timely compliance enabler.

Key Features of TaxBit's DAC7 Compliance Solution includes:

Effortless Onboarding: Seamlessly collect Personal Identifiable Information (PII) within your app by embedding TaxBit's tool, automatically verifying information against EU databases for accurate user data. Securely store, review, and audit PII and tax documentation.

DAC7 Reporting: Power the annual DAC7 XML Report generation to EU Member States, with end-user recipient copies accessible through the TaxBit Dashboard and API endpoints, offering a streamlined and comprehensive solution for reporting compliance.

TaxBit Dashboard: Establish a secure central hub for managing essential tax, accounting, and compliance procedures, providing a dedicated space for storing and organizing customer data and related DAC7 tax documentation.

"As the digital economy continues to evolve, TaxBit remains committed to simplifying the complexities of tax compliance for businesses globally," says Erin Fennimore, Vice President of Tax Solutions at TaxBit. "The TaxBit DAC7 Compliance Solution is a testament to our dedication to providing digital marketplaces with a solution that fosters trust, accuracy, and compliance in an ever-changing regulatory landscape."

For more information about TaxBit and its DAC7 Compliance Solution, please visit https://taxbit.com/dac7-compliance-solutions/

About TaxBit TaxBit, designed by CPAs and tax attorneys, is the leading tax and accounting compliance solution for the digital economy. Providing tax and accounting solutions for enterprises, financial institutions, and government bodies at scale, the TaxBit platform is modernizing the otherwise complex and manual — from automating tax document issuance to crypto accounting. TaxBit is SOC 1 Type 1, SOC 2 Type 2 attestation and ISO 27001 certified. TaxBit has secured over $235 million from leading global investors, including Tiger Global, Haun Ventures, PayPal Ventures. TaxBit has headquarters in Draper, Utah, with offices in Salt Lake City, San Francisco, Seattle, New York and Washington D.C. For more information, please visit www.taxbit.com.

For media inquiries, please contact:

Michelle O'Connor VP of Global Communications and Marketing michelle@taxbit.com

SOURCE TaxBit