Tax & Legal Update
Bookkeeping in foreign currency: how to determine functional currency and make…
The Ministry of Finance has published a draft amendment to the decree for entrepreneurs implementing the Act on Accounting. The new wording of the decree is related to the changes introduced by the consolidation package: provisions regulating the…
Mobility Directive to facilitate cross-border transformations
Companies in the EU can cross national borders by means of cross-border transformations. Current Directive (EU) 2017/1132 on certain aspects of company law only regulates cross-border mergers. This is now changing, as amending Directive 2019/2121 …
Trusts as employee remuneration option
Creating schemes whereby employees participate in their employer's profits is a modern and innovative way of remunerating employees. Stock option plans (ESOPs) and other employee participation programmes are rather more common in the international…
New rules for presentation of top-up tax in accounting
Entrepreneurs, banks, and insurance companies accounting for deferred tax will not have to consider the top-up tax when calculating deferred tax. However, they will be obliged to provide information about the top-up tax in the required extent in the…
De minimis aid limit to increase substantially from January 2024
Along with 2023, two important state aid regulations are coming to an end: the general regulation on de minimis aid (De Minimis Regulation) and the regulation on de minimis aid for providers of services of general economic interest (SGEI De Minimis…
Amendment to the VAT Act 2024: notification obligation for payment service providers
The Chamber of deputies has approved a draft amendment to the VAT Act that is to come into effect on 1 January 2024. Amending proposals that have been passed mainly concern the development of case law around tax submissions using prescribed forms.…
Pillar 1: first draft of multilateral convention
The OECD has published the first draft of a multilateral convention to implement the rules for the reallocation of a portion of profits (Amount A) of large multinational groups to countries where their end customers or service users are located (the…
Tax administration principles as boundaries of tax proceedings
The Tax Procedure Code is the basic regulation governing tax administration which is then modified by laws on individual taxes in partial aspects. Tax procedures are based on the principles of tax administration, and all provisions of the Tax…
Get support for research and development via TREND
The Technology Agency of the Czech Republic has announced the 11th call to participate in sub-programme 2 – Newcomers of the TREND programme, aiming to support research and development (R&D) activities of businesses that have not yet carried out…
ViDA: extension of OSS and introduction of single VAT registration
The VAT in the Digital Age (ViDA) proposal promises to modernise the VAT system across the European Union, aiming to increase EU tax revenue, digitalise reporting, defend against tax fraud more effectively, and move towards a definitive VAT system.…
CJEU: tax administrator may also refund wrongly charged VAT
The Court of Justice of the European Union (CJEU) ruled in Case C-453/22 that a taxpayer has the right to demand from a tax administrator a refund of VAT that a supplier has wrongly charged to the taxpayer and will not return due to the statute of…
SAC: Is it always possible to depreciate a movable item separately?
In judgment 8 Afs 229/2021-52, the Supreme Administrative Court (SAC) concluded that a technology such as a stationary power plant is a technical improvement to a building with which it forms a single functional unit and not a separate movable item.…