- DAC9 amends the EU’s directive on administrative cooperation, to assist multinational enterprise (MNE) groups with their obligations to exchange information as required by the EU Pillar Two directive.
- DAC9 complements the Pillar Two directive by allowing MNEs within the scope of the directive to submit the top-up tax information return in only one member state. As a result, MNEs would file their information return centrally through the ultimate parent entity (UPE) or through the designated filing entity instead of locally in each jurisdiction where there is a constituent entity (subsidiary or permanent establishment). The tax administration of the member state that receives the information would automatically exchange this information with the other member states.
- DAC9 introduces a standard form, in line with that developed by the OECD/G20 Inclusive Framework on BEPS, which MNEs would have to use to report. Any updates to the standard form (to align with any future OECD updates) would require a new directive on administrative cooperation.
- Timing: The text was formally adopted on 14 April 2025 and a common IT schema (aligned with the OECD standard) was adopted on 7 July 2025. Member states (including those that have chosen to delay implementation of the Pillar Two directive) have until 31 December 2025 to implement DAC9. MNEs are expected to file their first top-up tax information return by 30 June 2026, as required under the Pillar Two Directive. The relevant tax authorities would be required to exchange this information between themselves by 31 December 2026.
Resources (click to open)
- Implementing Regulation to Facilitate Automatic Exchange of Tax Information under DAC9 - European Commission (July 2025)
- Council of the European Union formally adopts DAC 9 (Deloitte tax@hand, April 2025)
- ECOFIN adopts DAC9 (Deloitte tax@hand, March 2025)
- Commission adopts proposal to ease filing obligations under Pillar Two directive (Deloitte tax@hand, October 2024)
