Tax & Legal Update
GFD’s Information on VAT on immovable assets – Part II
Rules for applying VAT on renovation work, tax rates applicable to housing, and changes in the optional application of VAT on the supply of immovable assets: these are the topics of Part II of our article about the General Financial Directorate’s…
Digital Omnibus and AI: simplification and postponement of AI rules
The European Commission has disclosed a digital package (known as the Digital Omnibus) that brings together a set of proposals for technical amendments to existing legislation, particularly in the digital field. It includes a proposal for a…
EU General Court on right to deduct VAT one month earlier fundamentally changes…
The EU General Court has issued an important decision (T 689/24) on VAT deduction, which has a fundamental impact on the practice of taxable entities and the creation of national legislation. The court addressed the question of whether it is…
EET 2.0 and other proposals by Ministry of Finance
The Ministry of Finance has disclosed a draft legislative package that includes the reintroduction of electronic sales reporting (EET) and other changes in personal income taxation, family support, and the digitisation of tax administration.
Overview of current subsidy programmes
We provide an overview of currently open subsidy programmes, primarily focusing on selected programmes and calls under the Operational Programme Technology and Applications for Competitiveness, the Transport Programme 2021-2027, and the…
Ministry of Finance responds to update of OECD Model Tax Convention
In November of last year, the OECD released an update to the Model Tax Convention on the avoidance of double taxation, including revisions to the accompanying Commentary. Among the changes is a substantially revised interpretation concerning the…
Face recognition at airports gets green light from High Court
The High Court in Prague has authorised the use of an isolated system to monitor the premises of the Czech international airport. This is the first time that Article 5 of the AI Act has been applied in practice. The camera system uses artificial…
Czech legislation has taken first step towards self-driving cars
Since the beginning of this year, it has been possible to use vehicles with conditional driving automation on selected sections of Czech roads. According to the international SAE scale, this is the first level at which a vehicle can drive itself…
Claiming VAT deduction in previous taxable period via additional VAT return?
The Coordination Committee of the Chamber of Tax Advisors and the General Financial Directorate (GFD) assessed whether it is possible to claim a VAT deduction in a previous period through an additional VAT return after receiving a tax document. The…
Setting roles in corporate structures: what are practical limits for concurrence of…
Correct setting of roles in a corporate structure is often challenging in practice, and the issue of concurrence of functions (offices) has been a long-standing one in the Czech legal environment. We therefore offer a brief and up-to-date overview…
SAC on taxation of biogas in biogas stations
The Supreme Administrative Court (SAC) heard a dispute over whether biogas produced and consumed in a biogas station should be subject to gas tax. The SAC ruled in the affirmative