Tax & Legal Update
Ways to quicker excess VAT deduction refunds
Excess VAT deductions retained by tax administrators cause cash-flow problems to a large number of corporations. When claiming refunds of excess deductions amounting to millions of Czech crowns, taxpayers often have to wait a long time for the…
Top six tax news items for employers and employees in 2017
Higher tax reliefs relating to both employer and employee contributions to employees’ supplementary pension insurance and life assurance schemes are already a given. Another increase in tax credits for dependent children is yet to be approved. Below…
Tax authority’s duty to produce evidence
The Supreme Administrative Court’s recent judgment concerning the entitlement to VAT deduction reminds us that not only the taxpayer must prove facts during tax proceedings but also the tax authority. The tax administration’s attempt to shift the…
SAC: toll manufacturing should not result in loss
The Supreme Administrative Court recently dealt with yet another transfer-pricing case. The dispute involved the entitlement of a toll manufacturer to report losses due to unfavourable developments in the target market.
Incorrect APR in contracts: a costly error
The Supreme Court recently ruled on the issue of an incorrectly calculated annual percentage rate of expense (APR) in a consumer credit contract: if the APR is stated in the contract in an incorrect amount, this constitutes a breach of the…
Ireland to appeal against the EC’s Apple ruling
In September, the European Commission ruled that Ireland had granted an undue tax advantage of EUR 13 billion to Apple, which it now has to recover from the company. In early October, the Irish finance minister prepared an appeal against the EC’s…
G20/OECD revise their programmes to facilitate dispute resolution between tax…
In October, the OECD released key documents that form the basis of the Mutual Agreement Procedure (MAP) peer review and monitoring process under Action 14 of the BEPS Action Plan.
With a lease of business premises you may be taking over the previous tenant’s…
The Supreme Court recently dealt with two similar cases – hospitality entrepreneurs started to operate in leased premises whose former tenants had carried out similar business activities. The new tenants were up for a most unpleasant surprise:…
Another amendment to the new Civil Code and Corporations Act
In late September, a group of deputies submitted to the government a bill partly modifying the yet unamended core regulations of the new private law – the Civil Code and the Act on Corporations. The proposed changes mostly concern unit owners’…
New calls under the ICT and Shared Services programme
At the end of October, first calls within the long-awaited second call under the Enterprise and Innovations for Competitiveness Operational Programme (OP EIC) were finally announced. In addition to calls designed for small and medium-size businesses…
GFD’s information on reverse-charge application on telecommunication services: some…
The reverse-charge regime has been applied to selected electronic communication services since 1 October 2016. The General Financial Directorate (the "GFD") has published information that should have clarified reverse-charge application conditions.…
Where to, income tax?
Discussions regarding a new long-awaited Income Tax Act have again been growing in intensity. In a recently published document the Ministry of Finance reveals some of its first intentions and concepts.