COVID-19 and transfer pricing policy – comparability analysis

With the economic downturn brought about by the COVID-19 pandemic, companies face the challenge of determining whether they should modify their transfer pricing policies. The decision has to be made at a time when comparable data necessary for the…

Pitfalls of managing transfer prices by means of marketing services

The Municipal Court in Prague confirmed the tax administrator’s approach reclassifying marketing services contracted and provided to abroad to ‘consideration received from a third party’. In the court’s opinion, the services were rendered directly…

Planned changes to Act on Residence of Foreign Nationals for 2021

The government has proposed changes to the Act on the Residence of Foreign Nationals as part of an amendment responding to a new bill on identity cards deriving from a new EU regulation on strengthening the security of identity cards of EU citizens…

Practical experience with applications under COVID – Rent programme

On 26 June 2020, the Ministry of Industry and Trade (MIT) launched the COVID – Rent programme. Applications should be accepted until 30 September 2020. Persons carrying out retail or performing services may apply for the compensation of rent for…

How did the Labour Inspection Office sanction employers in 2019?

The State Labour Inspection Office (SLIO) has published its inspection report for 2019. What were the outcomes of its inspections focusing on agency employment, illegal employment, concealed employment mediation and employee monitoring?

News in brief, July 2020

Last month’s tax and legal news in a few sentences.

Modernisation of consumer rules

A new EU directive revises the consumer right rules that must now be transposed into the legislations of the individual member states. The duties of traders towards consumers have been extended, as have the sanctions for their violations.

Last chance to draw support from OPEIC

The Enterprise and Innovation for Competitiveness Operational Programme (OPEIC) under the Ministry of Industry and Trade (MIT) is slowly coming to a close before being replaced by the Technology and Application for Competitiveness Operational…

CJEU: supply recipient must correct a tax deduction even though the supplier did not…

The Court of Justice of the EU (CJEU) has answered the prejudicial questions concerning a Romanian company that corrected a previously claimed VAT deduction for just a part of the supplies received. In this respect, the CJEU held that national tax…

Compensation bonus for persons working under agreements to complete job / perform…

The government has approved the provision of compensation bonuses also to persons performing work outside employment relationship, i.e. those who have been working based on an agreement to complete a job or an agreement to perform work resulting in…

2021 tax package heading to the Chamber of Deputies

The government has submitted to the Chamber of Deputies a bill to amend tax laws in 2021. What news are to be expected in income tax? Apart from the monetary contributions for meals, the changes mainly concern bonds and reporting of income flowing…

When shall we report under DAC 6 for the first time?

The first-time reporting of cross-border arrangements, originally planned to occur already this summer, will be postponed, most likely to the beginning of the next year: the legislative process implementing DAC 6 has been delayed, and the amendment…