VMI adopted amendments to simplify platform reporting, align DAC7 with DAC8, and allow seller identification via state or EU electronic identification services.
Lithuania’s State Tax Inspectorate (VMI) adopted amendments to Order No. VA-95 on 12 December 2025, which regulates reporting of platform-based activities. The changes implement requirements under the Amending Directive to the 2011 Directive on Administrative Cooperation (2021/514) (DAC7).
The amendments align DAC7 reporting with the latest Amending Directive to the 2011 Directive on Administrative Cooperation (2023/2226) (DAC8) and introduce a definition for “electronic identification services.” They also clarify how deregistered third-country platform operators should be removed from the Central Register.
An update allows seller identification and tax residence confirmation through state or EU electronic identification services, removing the need to collect full data for each seller. This aims to simplify compliance for platforms and reduce administrative burdens.
The amendments also repeal the previous exemption, update cross-references, and define the minimum retention period for information held by the tax authority. The updated rules will take effect on 1 January 2026.
DAC7 is the seventh amendment to the EU Directive on Administrative Cooperation in taxation. It obliges digital platforms operating within the EU to report sellers’ income to tax authorities. Platforms must also provide sellers with a copy of the information submitted, so they are aware of what is being shared.
To meet these reporting requirements, platforms are responsible for identifying which sellers need to be reported, carrying out the necessary due diligence, and notifying sellers when their data is submitted to the authorities.
Earlier, VMI amended Order No. VA-95 to align with the EU’s DAC7 Directive on 23 April 2025.
