Transmission and exchange of payment data to fight VAT fraud

On 18 March 2019, the European Commission published a survey for actors in the payment industry in order to gather their views on the implementation of the legislative package on the transmission and exchange of payment data in order to fight VAT fraud.

On 18 March 2019, the European Commission published a survey for actors in the payment industry in order to gather their views on the implementation of the legislative package on the transmission and exchange of payment data in order to fight VAT fraud.

The survey is available on EU survey and will run until 17 April at 20.00 (CET). The goal of the survey is to gather input from the different actors of the payment industry regarding the new reporting obligations introduced by Directive (EU) 2020/284.

The results of the survey will be used to organise and feed into the work of the expert group. The survey also aims to give representatives of all payment service providers in the EU a possibility to express their views and contribute to the implementation of the law. As such, payment service providers and interested parties are strongly invited to answer the survey and provide their valuable contribution.

Background information

On 18 February 2020, the Council adopted a legislative package to request payment service providers to transmit information on cross-border payments originating from Member States and on the beneficiary (“the payee”) of these cross-border payments.

Under this package, payment service providers offering payment services in the EU will have to monitor the payees of cross-border payments and transmit information on those who receive more than 25 cross-border payments per quarter.to the administrations of the Member States. This information will then be centralised in a European database, the Central Electronic System of Payment information (“CESOP”), where it will be stored, aggregated and cross-checked with other European databases. All information in CESOP will then be made available to Member States’ anti-fraud experts via a network called Eurofisc.

The transmission of data must begin on 1 January 2024.

Related links

• Survey for payment industry actors
• Transmission and exchange of payment data to fight VAT fraud (CESOP)
• Council Directive (EU) 2020/284 of 18 February 2020 amending Directive 2006/112/EC as regards introducing certain requirements for payment service providers (OJ L 62, 2.3.2020, p. 7)
• Council Regulation (EU) 2020/283 of 18 February 2020 amending Regulation (EU) No 904/2010 as regards measures to strengthen administrative cooperation in order to combat VAT fraud (OJ L 62, 2.3.2020, p. 1)