OECD: Draft model rules, reporting for platform operators and sellers in “sharing and gig economy”

OECD: Reporting for platform operators and sellers

The Organisation for Economic Cooperation and Development (OECD) on 19 February 2020 issued a draft of model rules that can be used by jurisdictions to collect information related to transactions and income realized by platform sellers in the sharing and gig economy.


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The growth of platforms in sharing and gig economy presents an opportunity for tax administrations wherein activities, previously conducted in the informal cash economy, can be recorded in electronic form. However, certain activities may not be visible to tax administrators or self-reported by taxpayers because the services may not be subject to third-party reporting. This has led to several tax authorities introducing reporting obligations on platform operators.

However, since such platforms operate in multiple jurisdictions, domestic reporting rules have inherent limitations. Additionally, platforms operating in multiple jurisdictions may be subject to multiple permutations of domestic reporting requirements which may lead to increased costs and barriers to business development.

The OECD thus has released model rules for reporting by platform operators with respect to sellers in the sharing and gig economy with the aim to limit these challenges. The OECD also released public consultation document that contains draft of model rules and commentary, and invites inputs on its key design features no later than 20 March 2020.

This is part of the first block of a three-block policy framework designed by the OECD to develop model domestic rules that can be uniformly adopted by interested jurisdictions to collect information on transactions and income realized by platform sellers; contain the proliferation of different domestic reporting requirements; and facilitate the development of automatic Introduction exchange agreements for interested jurisdictions. The other two blocks include a framework for automatic exchange of information collected under model rules and development of technical solutions and development of technical solutions to support both the exchange of information, as well as the performance of the due diligence obligations by platform operators.

Read a February 2020 report [PDF 90 KB] prepared by KPMG LLP

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