Tax & Legal Update
Taxation of listed investment funds is changing
In mid-June, the Chamber of Deputies passed a draft amendment to the Income Tax Act that alters the definition of a basic investment fund. The amendment regulates conditions under which funds whose shares have been accepted for trading on an EU…
Controversial amendment to Tax Procedure Code published in Collection of Laws
In early June, a long-awaited and widely discussed amendment to the Tax Procedure Code was published in the Collection of Laws. The amendment expands the information duty towards tax administrators and implements – with a few months’ delay – the EU…
Reporting cross-border transactions
On 5 June 2018, DAC 6 was published in the EU Official Journal. It introduces a new reporting duty and automated information exchange for cross-border arrangements motivated by obtaining a tax advantage.
2019 amendment to VAT Act: other three important changes
A draft amendment to the VAT Act has been submitted to the Chamber of Deputies. Below we present three significant changes.
Last wave of subsidies for large enterprises?
A few of the last calls to participate in the Enterprise and Innovations for Competitiveness Operational Programme (OPEIC) were announced during the course of June, including favourite programmes such as Potential, Innovations and Applications.…
What to expect in a transfer pricing inspection?
Not too long ago, transfer pricing was an issue tax administrators preferred to avoid, as their knowledge was limited in this respect. These times are over.
Changes to 2019 tax package: new reporting duty and abuse of right concept
The 2019 tax package, in its external comment procedure since February, is about to be submitted to the government. The comment procedure brought a number of changes: the Ministry of Finance added a new duty to report income flowing abroad and…
Tax penalty with a prison sentence on top?
One of the topics frequently discussed by Czech judiciary and tax professionals is the concurrence of administrative and criminal sanctions. A crucial issue here is the relationship between a penalty imposed in tax proceedings, and a subsequently…
OECD issues release on reviews conducted within BEPS
The Organisation for Economic Cooperation and Development (OECD) has issued a release that updates the results of preferential regime reviews conducted by the Forum on Harmful Tax Practices (FHTP) in connection with Action 5 under the Base Erosion…
Labour Inspection’s statistics: breaches of Labour Code not worthwhile
The State Labour Inspection Office conducted nearly 25 thousand inspections and collected over CZK 218 million in fines in the past year, according to the published results of inspections of compliance with labour-law regulations. Inspectors mainly…
Another step towards a common capital market
In March 2018, the European Commission prepared a set of legislative proposals aiming to promote alternative sources of financing and remove barriers to cross-border investments. The EU thus continues its efforts to create a Capital Markets Union,…