Data protection package ratified

On 14 April 2016, the European Parliament officially ratified the new data protection package, consisting of the General Data Protection Regulation and the Directive on the protection of natural persons with regard to the processing of personal data by competent authorities. Some of the new rules are of high relevance for tax professionals because they are connected with the duty of professional secrecy. Under the new Regulation, professionals subject to professional secrecy are generally exempt from the automatic obligation to provide information vis-à-vis the data subject from which personal data is collected. According to the initial proposal of the Commission, however, a tax adviser would have been obliged to inform the opponent or a business partner of his client about the fact that his data are saved and processed. This initial proposal was dropped during the legislative process.