In light of the Brexit Fair Trade Agreement that passed through parliament on 30 December 2020, HMRC announced that there would be major changes in the UK’s approach to DAC6. HMRC confirmed in its shock New Year’s Eve announcement email that in 2021 the UK government would repeal the legislation implementing DAC6 in the UK and instead implement the OECD’s MDR.

HMRC is currently working on the UK MDR consultation document which will seek views from interested parties on the new rules. While there are no confirmed dates, HMRC hopes to issue the consultation document to the public later in the summer. The expectation is that the consultation will run into the autumn, and the legislation will be finalised in the winter.

VinciWorks’ DAC6 reporting solution accommodates reporting in the UK as well as all EU Member States and will provide a solution for the new UK MDR as soon as it is finalised by HMRC.