EU Taxonomy 2026: Changes Bring More Clarity or Complexity?
In January 2026, the EU adopted new delegated legislation for EU Taxonomy reporting requirements. The goal is to simplify and clarify rules, but companies will have several options.
Brussels – The European Union adopted a new delegated regulation (EU) 2026/73 in January 2026, revising the reporting requirements for the EU Taxonomy. The aim is to increase clarity and practical applicability of the framework, while also providing companies with several choices.
The new regulation, published in the Official Journal on January 8, 2026, will be voluntary for the 2025 reporting year and mandatory from 2026 onwards. The European Commission also released a draft FAQ document on December 17, 2025, to offer further guidance. This document, though not final, addresses detailed questions such as opt-out possibilities for financial companies and reporting templates for the transition period.
Financial institutions have three options for their EU Taxonomy reporting for the 2025 fiscal year. They can continue using the old reporting templates and methodology, which offers audit security for 2025 but not beyond. Alternatively, they can apply the new methodology for 2025, or continue using the existing methodology from regulation (EU) 2021/2178 even for the 2025 reporting.
However, complexity may increase with new rules, particularly regarding the so-called 'Trading Book' and 'Fees & Comissions' KPIs, the implementation of which has been postponed to 2027 for banks. Furthermore, the voluntary inclusion of off-balance-sheet parties and the comparability of data from previous years are important considerations. BDO AG advises companies to carefully evaluate their options and prepare for the changes.