--- title: "EU Taxonomy FAQ: eligibility, alignment, DNSH, safeguards, and Article 8" canonical_url: "https://www.sorena.io/artifacts/eu/taxonomy-regulation/faq" source_url: "https://www.sorena.io/artifacts/eu/taxonomy-regulation/faq/items/page/3" author: "Sorena AI" description: "EU Taxonomy FAQ hub for eligibility, alignment, technical screening criteria, DNSH, minimum safeguards, Article 8 KPIs, delegated acts, and evidence records." published_at: "2026-05-09" updated_at: "2026-05-27" keywords: - "EU Taxonomy FAQ" - "Regulation (EU) 2020/852" - "EU Taxonomy eligibility" - "EU Taxonomy alignment" - "technical screening criteria" - "DNSH" - "minimum safeguards" - "Article 8 KPIs" - "turnover CapEx OpEx" - "Green Asset Ratio" - "EU Taxonomy" - "Taxonomy eligibility" - "Taxonomy alignment" --- **[SORENA](https://www.sorena.io/)** - AI-Powered GRC Platform [Home](https://www.sorena.io/) | [Solutions](https://www.sorena.io/solutions) | [Artifacts](https://www.sorena.io/artifacts) | [About Us](https://www.sorena.io/about-us) | [Contact](https://www.sorena.io/contact) | [Portal](https://app.sorena.io) --- # EU Taxonomy FAQ: eligibility, alignment, DNSH, safeguards, and Article 8 EU Taxonomy FAQ hub for eligibility, alignment, technical screening criteria, DNSH, minimum safeguards, Article 8 KPIs, delegated acts, and evidence records. *FAQ Hub* *Taxonomy* *EU* ## EU Taxonomy FAQ eligibility, alignment, DNSH, safeguards, and Article 8 reporting Direct answers for teams deciding whether an economic activity is Taxonomy-eligible, what is needed for alignment, and what evidence supports Article 8 disclosures. Use the linked FAQ modules to separate delegated-act activity mapping, technical screening criteria, do-no-significant-harm checks, Article 18 minimum safeguards, and KPI reporting. The EU Taxonomy is the EU classification system for environmentally sustainable economic activities. This FAQ hub is for legal, finance, sustainability, product, and portfolio teams that need a practical path from an activity description to eligibility, alignment, evidence, and Article 8 disclosure decisions without treating the Taxonomy as a generic ESG label. ## Browse sub-FAQ modules ### [DNSH Appendix C under the EU Taxonomy: chemicals evidence FAQ](/artifacts/eu/taxonomy-regulation/faq/dnsh-appendix-c.md) Practical FAQ on EU Taxonomy DNSH Appendix C chemicals criteria, including SVHCs, CLP hazard classes, the 0.1% w/w threshold, suitable alternatives, and controlled conditions evidence. - 3 items ### [EU Taxonomy 2026 simplification: what should teams do?](/artifacts/eu/taxonomy-regulation/faq/2026-simplification.md) source-linked FAQ on EU Taxonomy 2026 simplification, Regulation (EU) 2026/73, Article 8 reporting, DNSH evidence, and limits on unsupported claims. - 4 items ### [EU Taxonomy activity evidence packs: what to retain](/artifacts/eu/taxonomy-regulation/faq/activity-evidence-packs.md) A practical FAQ on EU Taxonomy activity evidence packs: eligibility, alignment, DNSH, minimum safeguards, KPI traceability, and source-linked review records. - 4 items ### [EU Taxonomy Article 8 Scope FAQ](/artifacts/eu/taxonomy-regulation/faq/article-8-scope.md) source-linked FAQ on EU Taxonomy Article 8 scope, including who reports, which KPI framework applies, and what evidence teams should retain. - 4 items ### [EU Taxonomy auditor evidence: what to keep for alignment review](/artifacts/eu/taxonomy-regulation/faq/auditor-evidence.md) Practical FAQ on EU Taxonomy auditor evidence: what evidence supports eligibility, alignment, DNSH, minimum safeguards, and Article 8 KPI disclosures. - 4 items ### [EU Taxonomy CapEx Plans FAQ: Article 8 CapEx KPI](/artifacts/eu/taxonomy-regulation/faq/capex-plans.md) Practical FAQ on EU Taxonomy CapEx plans under Article 8, Annex I Section 1.1.2.2, management-body approval, timing, activity-level evidence, and KPI restatement. - 5 items ### [EU Taxonomy delegated act changes: what teams should check](/artifacts/eu/taxonomy-regulation/faq/delegated-act-changes.md) FAQ on handling EU Taxonomy delegated act changes: official source checks, application dates, affected criteria, disclosures, DNSH evidence, and review records. - 4 items ### [EU Taxonomy eligibility vs alignment: what is the difference?](/artifacts/eu/taxonomy-regulation/faq/eligibility-vs-alignment.md) Eligibility means an activity is covered by Taxonomy delegated acts; alignment means it also meets Article 3 conditions, technical screening criteria, DNSH, and minimum safeguards. - 4 items ### [EU Taxonomy Financial KPIs and Green Asset Ratio (GAR) FAQ](/artifacts/eu/taxonomy-regulation/faq/financial-kpis-and-gar.md) FAQ on EU Taxonomy Article 8 financial undertaking KPIs, credit institution Green Asset Ratio (GAR), reporting dates, exclusions, and qualitative disclosures. - 4 items ### [EU Taxonomy minimum safeguards FAQ: Article 18 evidence](/artifacts/eu/taxonomy-regulation/faq/minimum-safeguards.md) FAQ on EU Taxonomy minimum safeguards under Article 18: who must comply, which OECD, UNGP, ILO and human-rights evidence to keep, and common reporting mistakes. - 5 items ### [EU Taxonomy non-financial KPIs: turnover, CapEx and OpEx](/artifacts/eu/taxonomy-regulation/faq/non-financial-kpis.md) Article 8 FAQ for non-financial undertakings reporting EU Taxonomy turnover, CapEx and OpEx KPIs, with evidence and source checks. - 4 items ### [EU Taxonomy Six Environmental Objectives | Article 9 FAQ](/artifacts/eu/taxonomy-regulation/faq/six-environmental-objectives.md) Plain-English FAQ on the six EU Taxonomy environmental objectives in Article 9 and how teams should map activities, DNSH checks, safeguards, and evidence. - 4 items Browse all indexed questions: [/artifacts/eu/taxonomy-regulation/faq/items](/artifacts/eu/taxonomy-regulation/faq/items.md) ## All FAQ items *Page 3 of 3. Showing 9 of 49 items.* ### [What is the common mistake with EU Taxonomy minimum safeguards?](/artifacts/eu/taxonomy-regulation/faq/minimum-safeguards.md#what-is-the-common-mistake-with-eu-taxonomy-minimum-safeguards) *Module: [EU Taxonomy minimum safeguards FAQ: Article 18 evidence](/artifacts/eu/taxonomy-regulation/faq/minimum-safeguards.md)* The common mistake is to report or describe an activity as Taxonomy-aligned because the environmental criteria look satisfied, while treating minimum safeguards as a generic group policy statement. Article 3 requires the aligned activity to satisfy minimum safeguards as a separate condition. - Do not publish broad claims such as 'minimum safeguards met' without activity-level evidence. - Do not cite a non-binding report without also anchoring the claim in Article 18 where the legal rule is needed. - Do not reuse evidence from one undertaking or business relationship for another unless the source and facts support reuse. - Do not report aligned KPIs where the minimum-safeguards evidence is missing or unresolved. Sources for this answer: - [Regulation (EU) 2020/852 (Taxonomy Regulation)](https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=celex%3A32020R0852&ref=sorena.io) - Legal anchor for the separate Article 3 condition that activities be carried out in compliance with Article 18 minimum safeguards. - [Final Report on Minimum Safeguards](https://finance.ec.europa.eu/system/files/2022-10/221011-sustainable-finance-platform-finance-report-minimum-safeguards_en.pdf?ref=sorena.io) - Platform report disclaimer and advice used to avoid overstating non-binding guidance as law. ### [Which non-financial KPIs does Article 8 require?](/artifacts/eu/taxonomy-regulation/faq/non-financial-kpis.md#which-non-financial-kpis-does-article-8-require) *Module: [EU Taxonomy non-financial KPIs: turnover, CapEx and OpEx](/artifacts/eu/taxonomy-regulation/faq/non-financial-kpis.md)* Article 8 of Regulation (EU) 2020/852 applies to undertakings that are required to publish non-financial information under Article 19a or 29a of the Accounting Directive. Those undertakings must include information on how and to what extent their activities are associated with environmentally sustainable economic activities. - Do not treat generic ESG, operational, or impact indicators as substitutes for the Article 8 KPI set. - Start with the reporting entity and consolidation boundary before calculating activity-level figures. - Document which activities are Taxonomy-eligible, which are Taxonomy-aligned, and which financial line items feed the turnover, CapEx, and OpEx KPIs. Sources for this answer: - [Regulation (EU) 2020/852 (Taxonomy Regulation)](https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX:32020R0852&ref=sorena.io) - Article 8 states the disclosure duty and names turnover, capital expenditure, and operating expenditure for non-financial undertakings. - [Commission Delegated Regulation (EU) 2021/2178 (Disclosures Delegated Act)](https://eur-lex.europa.eu/eli/reg_del/2021/2178/oj/eng?ref=sorena.io) - The Article 8 delegated act specifies the content, presentation, and methodology for Taxonomy disclosures by in-scope undertakings. ### [How should teams prepare the turnover, CapEx, and OpEx KPI records?](/artifacts/eu/taxonomy-regulation/faq/non-financial-kpis.md#how-should-teams-prepare-the-turnover-capex-and-opex-kpi-records) *Module: [EU Taxonomy non-financial KPIs: turnover, CapEx and OpEx](/artifacts/eu/taxonomy-regulation/faq/non-financial-kpis.md)* Build each KPI record from the same controlled activity inventory. For every economic activity, keep the activity description, the Taxonomy objective assessed, the technical screening criteria used, the eligibility or alignment conclusion, and the financial amounts included or excluded. - Turnover KPI: trace the reported amount to products or services associated with qualifying economic activities. - CapEx KPI: trace the reported amount to assets, processes, eligible activity expansion, aligned activity upgrade, or individual measures only where the delegated-act methodology supports that treatment. - OpEx KPI: retain the accounting source, activity link, inclusion rationale, and any exclusion rationale so reviewers can reproduce the calculation. Sources for this answer: - [Regulation (EU) 2020/852 (Taxonomy Regulation)](https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX:32020R0852&ref=sorena.io) - Article 8 links the non-financial undertaking KPIs to products, services, assets, processes, and environmentally sustainable economic activities. - [Implementing and delegated acts - Taxonomy Regulation](https://finance.ec.europa.eu/regulation-and-supervision/financial-services-legislation/implementing-and-delegated-acts/taxonomy-regulation_en?ref=sorena.io) - Commission page identifying the Disclosures Delegated Act and its Article 8 role, including content, presentation, methodology, and annexes. - [Commission Notice C/2023/305 on the Disclosures Delegated Act](https://eur-lex.europa.eu/eli/C/2023/305/oj/eng?ref=sorena.io) - Commission FAQ notice covering implementation questions for Taxonomy-eligible and Taxonomy-aligned reporting by non-financial undertakings. ### [What evidence should sit behind non-financial Taxonomy KPIs?](/artifacts/eu/taxonomy-regulation/faq/non-financial-kpis.md#what-evidence-should-sit-behind-non-financial-taxonomy-kpis) *Module: [EU Taxonomy non-financial KPIs: turnover, CapEx and OpEx](/artifacts/eu/taxonomy-regulation/faq/non-financial-kpis.md)* A useful evidence file lets a reviewer move from the public KPI back to the source rule, activity assessment, and financial data. It should show the reporting scope, the activity mapping, the objective assessed, the screening criteria and DNSH/minimum-safeguards conclusion where alignment is claimed, and the calculation source for each KPI. - Keep the legal source and Article 8 or delegated-act section used for each decision. - Keep the accounting source and reconciliation path for the turnover, CapEx, and OpEx amounts. - Keep the activity-level eligibility and alignment assessment, including why excluded activities or amounts were left out. - Keep a separate voluntary-reporting note when additional Taxonomy information is published outside the mandatory KPI set. Sources for this answer: - [Commission Notice C/2023/305 on the Disclosures Delegated Act](https://eur-lex.europa.eu/eli/C/2023/305/oj/eng?ref=sorena.io) - Source for voluntary Taxonomy reporting cautions and comparative-information guidance under the Disclosures Delegated Act. - [Commission Delegated Regulation (EU) 2021/2178 (Disclosures Delegated Act)](https://eur-lex.europa.eu/eli/reg_del/2021/2178/oj/eng?ref=sorena.io) - Primary delegated-act source for Taxonomy disclosure methodology, templates, and presentation requirements. ### [What are common mistakes in non-financial KPI reporting?](/artifacts/eu/taxonomy-regulation/faq/non-financial-kpis.md#what-are-common-mistakes-in-non-financial-kpi-reporting) *Module: [EU Taxonomy non-financial KPIs: turnover, CapEx and OpEx](/artifacts/eu/taxonomy-regulation/faq/non-financial-kpis.md)* The most common mistake is using the phrase non-financial KPI as if it meant any sustainability metric. In Article 8 Taxonomy reporting, the non-financial undertaking KPI set is specific: turnover, CapEx, and OpEx, calculated and presented under the delegated-act methodology. - Do not publish a Taxonomy-aligned percentage unless the activity assessment and KPI calculation both support it. - Do not mix mandatory Article 8 KPIs with voluntary Taxonomy metrics without explaining the basis and relative status of each. - Do not count turnover from an activity adapted to climate change unless the delegated-act and Commission-notice conditions for counting that turnover are met. - Do not rely on stale templates when the reporting templates or delegated-act amendments applicable to the reporting year have changed. Sources for this answer: - [Commission Notice C/2023/305 on the Disclosures Delegated Act](https://eur-lex.europa.eu/eli/C/2023/305/oj/eng?ref=sorena.io) - Source for voluntary reporting treatment, comparative information, and double-counting guidance for non-financial undertaking KPIs. - [Implementing and delegated acts - Taxonomy Regulation](https://finance.ec.europa.eu/regulation-and-supervision/financial-services-legislation/implementing-and-delegated-acts/taxonomy-regulation_en?ref=sorena.io) - Commission page listing the Disclosures Delegated Act and later delegated acts that amend Taxonomy disclosures and templates. ### [What are the six environmental objectives under the EU Taxonomy?](/artifacts/eu/taxonomy-regulation/faq/six-environmental-objectives.md#what-are-the-six-environmental-objectives-under-the-eu-taxonomy) *Module: [EU Taxonomy Six Environmental Objectives](/artifacts/eu/taxonomy-regulation/faq/six-environmental-objectives.md)* The six environmental objectives are the Article 9 objectives in the Taxonomy Regulation. Use the exact legal wording when building a control, disclosure, data model, or customer-facing explanation. - Climate change mitigation. - Climate change adaptation. - The sustainable use and protection of water and marine resources. - The transition to a circular economy. - Pollution prevention and control. - The protection and restoration of biodiversity and ecosystems. Sources for this answer: - [Regulation (EU) 2020/852 (Taxonomy Regulation)](https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=celex:32020R0852&ref=sorena.io) - Article 9 defines the six environmental objectives and Article 3 defines the conditions for an environmentally sustainable economic activity. ### [How should teams use the objectives in an assessment?](/artifacts/eu/taxonomy-regulation/faq/six-environmental-objectives.md#how-should-teams-use-the-objectives-in-an-assessment) *Module: [EU Taxonomy Six Environmental Objectives](/artifacts/eu/taxonomy-regulation/faq/six-environmental-objectives.md)* Start by mapping the economic activity to the objective it may substantially contribute to. Then check whether the activity causes significant harm to any of the other Article 9 objectives, because the Regulation treats DNSH as a separate condition from substantial contribution. - Identify the economic activity being assessed and the objective or objectives it may substantially contribute to. - Find the applicable technical screening criteria in the relevant delegated act before making an alignment statement. - Record the DNSH check against the other environmental objectives, including life-cycle considerations where the criteria require them. - Confirm minimum safeguards separately; they are part of Article 3 and are not replaced by environmental evidence. Sources for this answer: - [Regulation (EU) 2020/852 (Taxonomy Regulation)](https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=celex:32020R0852&ref=sorena.io) - Article 18 defines minimum safeguards by reference to OECD, UN, ILO, and International Bill of Human Rights standards. ### [Which delegated acts relate to the six objectives?](/artifacts/eu/taxonomy-regulation/faq/six-environmental-objectives.md#which-delegated-acts-relate-to-the-six-objectives) *Module: [EU Taxonomy Six Environmental Objectives](/artifacts/eu/taxonomy-regulation/faq/six-environmental-objectives.md)* The Climate Delegated Act sets technical screening criteria for activities that can substantially contribute to climate change mitigation or climate change adaptation. The Environmental Delegated Act addresses the four non-climate objectives: water and marine resources, circular economy, pollution prevention and control, and biodiversity and ecosystems. - Climate objectives: climate change mitigation and climate change adaptation. - Non-climate objectives: water and marine resources, circular economy, pollution prevention and control, biodiversity and ecosystems. - Technical screening criteria can differ even where activity descriptions look similar across delegated acts. - Commission FAQ material is useful for interpretation, but the underlying regulation and delegated acts remain the sources to cite for criteria. Sources for this answer: - [Frequently asked questions on the EU taxonomy](https://finance.ec.europa.eu/publications/frequently-asked-questions-eu-taxonomy_en?ref=sorena.io) - Commission FAQ page describing technical clarifications for the Climate and Environmental Delegated Acts, DNSH criteria, and reporting obligations. - [Commission Delegated Regulation (EU) 2021/2139](https://eur-lex.europa.eu/eli/reg_del/2021/2139/oj/eng?ref=sorena.io) - Climate Delegated Act source for climate change mitigation and climate change adaptation technical screening criteria. - [Commission Delegated Regulation (EU) 2023/2485](https://eur-lex.europa.eu/eli/reg_del/2023/2485/oj/eng?ref=sorena.io) - Environmental Delegated Act source for technical screening criteria for the four non-climate environmental objectives. ### [What evidence should teams keep for the objective mapping?](/artifacts/eu/taxonomy-regulation/faq/six-environmental-objectives.md#what-evidence-should-teams-keep-for-the-objective-mapping) *Module: [EU Taxonomy Six Environmental Objectives](/artifacts/eu/taxonomy-regulation/faq/six-environmental-objectives.md)* Keep evidence that lets a reviewer trace the path from the activity to the objective, the delegated-act criteria, the DNSH checks, and the final statement. A generic sustainability narrative is not enough for Taxonomy work. - Activity description and boundary used for the assessment. - Article 9 objective or objectives selected for substantial-contribution review. - Delegated-act section and technical screening criteria used. - DNSH evidence for the other Article 9 objectives. - Minimum-safeguards evidence or unresolved-safeguards note. - Disclosure or public-claim text that depends on the assessment. Sources for this answer: - [Regulation (EU) 2020/852 (Taxonomy Regulation)](https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=celex:32020R0852&ref=sorena.io) - Article 19 requires technical screening criteria to facilitate verification and take life-cycle impacts into account. ## FAQ Pagination - Canonical index (page 1): [/artifacts/eu/taxonomy-regulation/faq/items](/artifacts/eu/taxonomy-regulation/faq/items.md) - Page 1 rule: `/page/1` is intentionally not generated; use the canonical index markdown URL. - Current page: 3 of 3 Pages: [1](/artifacts/eu/taxonomy-regulation/faq/items.md) | [2](/artifacts/eu/taxonomy-regulation/faq/items/page/2.md) | [3](/artifacts/eu/taxonomy-regulation/faq/items/page/3.md) [Previous page](/artifacts/eu/taxonomy-regulation/faq/items/page/2.md) *Recommended next step* *Placement: after evidence section* ## Turn EU Taxonomy answers into reportable evidence Use this EU Taxonomy FAQ hub to connect activity mapping, technical screening criteria, DNSH checks, minimum safeguards, and Article 8 KPI evidence before reporting or publishing sustainability claims. - [Open Research Copilot](/solutions/research-copilot.md): Answer EU Taxonomy implementation questions with cited source material. - [Discuss EU Taxonomy implementation](/contact.md): Review activity scope, delegated-act criteria, evidence records, and Article 8 reporting steps with Sorena. --- [Privacy Policy](https://www.sorena.io/privacy) | [Terms of Use](https://www.sorena.io/terms-of-use) | [DMCA](https://www.sorena.io/dmca) | [About Us](https://www.sorena.io/about-us) (c) 2026 Sorena AB (559573-7338). 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