The European Commission has initiated a public consultation concerning Directive 2011/16/EU, commonly referred to as the Directive on Administrative Cooperation (DAC).
This consultation is being conducted to evaluate the effectiveness, efficiency, and ongoing relevance of the DAC and its amendments (DAC2 to DAC6), alongside its alignment with other policy initiatives, priorities, and the added value it brings to the EU.
The evaluation will assess the DAC based on five key areas:
- Scope and Purpose: Whether the DAC addresses current challenges faced by member states in combating tax avoidance and evasion across borders.
- Effectiveness: Whether information exchange under the DAC is timely, complete, and usable, leading to a positive impact on tax revenue and the single market.
- Efficiency: The cost-benefit of information exchange and other cooperation tools, aiming to reduce reporting burdens for businesses and administrations.
- Internal Consistency: Whether the DAC’s various amendments are consistent with each other and avoid internal conflicts.
- EU Added Value: The benefit of the DAC compared to other international information exchange mechanisms.
The consultation period will conclude on 30 July, 2024.
