Tax & Legal Update
Overview of current and expected subsidy programmes
In our overview, we focus on selected programmes and calls under the Operational Programme Technology and Applications for Competitiveness, as well as on calls under the Modernisation Fund and programmes of the Technology Agency of the Czech…
Preliminary question for CJEU: is minimum technical equipment overhead cost?
The Supreme Administrative Court (SAC) referred to the Court of Justice of the EU (CJEU) the preliminary question whether the minimum technical equipment (in this case, defibrillators purchased by a hospital) can be considered general (overhead)…
VAT perspective on e-invoicing in EU
The digitisation of the tax agenda and the related introduction of electronic invoicing (in the form of e-invoicing) is becoming increasingly relevant. During its EU presidency, Belgium pushed forward negotiations with other member states and…
SAC on claiming R&D allowance
In its recent judgment, the Supreme Administrative Court (SAC) has addressed whether to allow claimed research and development (R&D) allowances. In the relevant case, the tax administrator disallowed these costs on the grounds that the basic…
Provision of company car to employee
A common employee benefit is the possibility to use a company car for private purposes. How to provide this benefit correctly? What is the effect of the vehicle’s emission parameters? How to proceed when a vehicle is provided exclusively for private…
Inspections by tax authorities targeting interest
Summer usually brings rest and holidays, but for some taxpayers it can be a time of increased attention from the tax authorities. In recent weeks, the tax authorities have been actively contacting taxpayers to verify the tax deductibility of certain…
Proving costs of light advertising
The Supreme Administrative Court (SAC) dealt with the tax deductibility of costs incurred for advertising that broadcast a video spot on a LED screen. The tax administrator had doubts about the spot’s broadcasting frequency and assessed the costs as…
What will amendment to Accounting Act bring?
The draft amendment to the Accounting Act approved by the government will change the categorisation of entities and introduce new obligations regarding sustainability reporting. During the comment procedure, the originally proposed effective date…
Finance ministry on future of windfall tax
The Czech Ministry of Finance reports that the state's extraordinary revenues from tax on windfall profits and levies on surplus revenues and wealth gains have not yet covered its extraordinary expenses related to the energy crisis. Although not…
Top-up tax: postponed deadlines and other proposed changes
The Act on Top-Up Taxes has not been valid a full year yet, but a draft amendment is already underway. The Ministry of Finance has now published the draft amendment after having incorporated comments. The most important changes concern the deadlines…
Time factor and standard of proof in tax inspection
In its recent judgment, the Supreme Administrative Court (SAC) dealt with the issue of proving the right to deduct VAT on supplies of assembly work and the amount of evidence that the tax administrator may require considering the time elapsed…