Application of DAC 6 to Financial Products and Services

ISDA and the Association for Financial Markets in Europe (AFME) have published a paper on the EU directive regarding mandatory automatic exchange of information in the field of taxation in relation to reportable, cross-border arrangements (DAC 6).

There is currently a lack of guidance specifically addressing the application of the DAC 6 disclosure hallmarks to financial products. ISDA and AFME have therefore developed this paper to propose a common approach, based on market participants’ understanding of DAC 6 principles.

Although non-binding, the paper is being made publicly available to ensure the analysis and conclusions are transparently disclosed to market participants and to foster dialogue among stakeholders, including government authorities.

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