Financial administration again answers questions about changes to tax depreciation

Even after months of the Income Tax Act’s amendment’s validity, the retroactive effect of the changes to tax depreciation has still not been fully clarified. For the third time, the financial administration has again updated the Q&A file on its…

News in brief, June 2021

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

Detailed home office regulation still not in sight (II): employee monitoring

In this article, we deal with the pitfalls that the monitoring of employees working from home may pose for employers. In this case, the employer’s right to know whether employees are performing the assigned work during working hours and are not…

Last year’s development of competition law – Czech Anti-Trust Office case law (II)

In this article, we summarise the decision-making practice of the Office for the Protection of Competition (“Anti-Trust Office”) in individual areas, including related statistics. We also focus on how successful competitors have been in…

Time test for tax exemption upon spouses’ community property settlements

The Coordination Committee of the General Financial Directorate (GFD) and the Chamber of Tax Advisers confirmed that the time test for the tax exemption of income from the sale of shares (ownership interests in a business corporation) shall not be…

COVID-19 vaccinations for employees posted abroad

Vaccinations against COVID-19 are in full swing in the Czech Republic. Currently, 30-year-olds may register to get their shots; from June, registration should open for all persons over the age of 16. This means that virtually the entire productive…

Current developments in green finance

Although the Czech Republic is hardly a European leader in green investment and sustainable finance, financial institutions, headed by big banks, are getting ready for the new regulation. Apart from increasing transparency, the following years will…

How to minimise additional tax assessment sanctions?

The conclusion of a tax inspection resulting in an additional tax assessment is associated with sanctions: a penalty plus default interest; the latter, while technically not a sanction, may be many times higher than the penalty. The Tax Procedure…

Summary of e-commerce changes (2021 VAT amendment)

From 1 July 2021, significant changes in VAT on the cross-border sale of goods over the internet enter into effect, concerning both sales within the EU and imports from third countries. The place of taxation will be the country of the recipient,…

CJEU on roaming services’ place of supply

In the case of SK Telecom Co. Ltd, No. C-593/19, the Court of Justice of the EU (CJEU) dealt with the determination of the place of supply for roaming services, following the rule of effective use and enjoyment.

Digital services tax approval on the horizon

After more than a one-year break, the government's bill on digital services tax has moved on to the next phase of the legislative process. The final third reading in the Chamber of Deputies, which will also vote on all motions to amend the bill made…

VAT refunds post-Brexit

The General Financial Directorate has issued information on VAT refunds to UK entities after Brexit.