Value Added Tax Consolidation Act 2010 section 85C

Requirement to keep records

Section 85C imposes an obligation on payment service providers to keep detailed records of payees and payments relating to cross-border payment services, subject to a quarterly threshold and certain exemptions.

• Payment service providers (PSPs) must keep detailed quarterly records of payees and payments, but only in respect of cross-border payment services — i.e. where the payer is in one Member State and the payee is in another Member State or a non-EU country.
• The record-keeping obligation is triggered only where a PSP processes more than 25 cross-border payments to the same payee during a calendar quarter, calculated per Member State and per account identifier (IBAN, BIC or other unique code).
• Where a PSP knows that a payee holds multiple identifiers (e.g. several bank accounts), the 25-payment count must be made per payee rather than per individual identifier.
• Where at least one of the payee's PSPs is located in a Member State, the payer's PSP is exempt from the record-keeping requirement for that payment, but must still include those payments when calculating whether the 25-payment threshold has been exceeded.