Tax & Legal Update
CBAM: end of default values
In its Implementing Regulation of August 2023, the European Commission in certain cases allowed the reporting of emissions for the purpose of filing Carbon Border Adjustment Mechanism (CBAM) reports based on calculations using published default…
Amendment to Income Tax Act introduces huge changes in personal income tax
Responding to the forthcoming new Accounting Act, the Ministry of Finance has published a draft amendment to the Income Tax Act. The proposed effective date of 1 January 2025 and other parts of the amendment may still change during the legislative…
Amendment to Labour Code resolves minimum wage increases and working time self…
Even before the Flexinovela amendment to the Labour Code becomes effective, changes are being proposed that should enshrine automatic minimum wage increases, abolish the guaranteed wage concept, resolve the plurality of trade unions, and allow for…
Subsidies to digitise your business
On 15 July 2024, the Ministry of Industry and Trade opened a call for applications under the Operational Programme Technology and Applications for Competitiveness called Digital Enterprise - Digital Enterprise - Call I.
News in international taxation
The KPMG EU Tax Centre regularly summarises European and global changes in direct taxes that may affect your business.
Statutory representatives liable for a corporation's tax arrears?
In a recent judgment (10 Afs 4/2024-38 of 18 June 2024), the Supreme Administrative Court (SAC) dealt with a case in which the tax authority turned to the statutory representative of a corporation on the grounds of his liability. Although the Tax…
Easier recovery of debts through payment orders
On 1 July 2024, the Act on Collective Civil Proceedings came into force, enacting the process of collective enforcement of consumer rights in the Czech Republic. However, together with the act, legislators passed completely unrelated amendments that…
Amortisation of valuation differences arising on company transformations part of…
The Supreme Administrative Court (SAC) has issued a judgment that may mark a change in the understanding of valuation differences arising on company transformations. Can we expect that Czech administrative courts will take the economic reality into…
When is an additional VAT return really necessary?
Corrections to already filed VAT returns are not uncommon in practice. Often, we either do not have the tax documents in the period to which they relate or we simply forget to include them. Let's take a look at situations when we are obliged to file…
Class actions are newly available in the Czech Republic
The closely watched innovative Class Actions Act entered into force on 1 July 2024, making it possible for groups of people to combine their claims based on the same or similar grounds into a single action and save on court costs.
Due Diligence Directive: what companies need to know
The European Union is introducing a new Corporate Sustainability Due Diligence Directive (CSDDD), which introduces new obligations for businesses. Consequently, these should be prepared for greater scrutiny of their activities and their supply…
More flexible arrangements for occasional road passenger transport
At the end of May, an EU regulation introducing changes to the rules regarding (minimum) breaks and rest periods in occasional road passenger transport entered into force. The regulation primarily aims to consider the sector’s specific working…