Tax & Legal Update
EU: new rules to simplify collection of VAT on imports
The Council of the European Union has adopted new rules to simplify the process of collecting value added tax on imports of goods. The change shifts the obligation to pay VAT on EU imports from the consumer to the supplier. The aim is to encourage…
EU-US trade deal : lower tariffs and cooperation in energy sector
On 27 July, European Commission President Ursula von der Leyen and US President Donald J. Trump agreed on key parameters of future trade relations. This agreement should be the first step in a process that will be further expanded and continue to…
Emails need not be signed with guaranteed electronic signature
Is it necessary for emails to bear a guaranteed electronic signature or is it sufficient if only an attached submission bears such a signature? The Constitutional Court opted for the latter and thereby further relaxed the rules of electronic…
Contractual autonomy: Can expert determine discount on purchase price?
Can contracting parties agree that a discount on a purchase price shall be determined by an expert? This question was recently addressed by the Supreme Court of the Czech Republic. In the article below, read how the court ruled and what it means for…
Public country-by-country reporting quickly approaching - Czech companies running…
Major Czech corporate groups and Czech companies operating within large multinational corporate groups are facing a new challenge. They will have to disclose sensitive financial information under the EU Directive 2021/2101 as early as 2025. Until…
Changes to tax depreciation of photovoltaic power plants
In connection with the amendment to the Energy Act, changes have been made to the tax depreciation of photovoltaic power plants. On 1 August 2025, the special method of depreciating these plants or their technological parts under the Income Tax Act…
SAC: standard of loss and tax deductibility
In its July 2025 judgment 1 Afs 77/2025-74, the Supreme Administrative Court (SAC) dealt with the appropriateness of and change to a standard loss rate set by a taxpayer and with the offsetting of shortages and surpluses across different types of…
CJEU: liability for unpaid tax and denial of VAT deduction applied simultaneously
In its recent judgment, the Court of Justice of the European Union (CJEU) held that in the event of tax fraud, it is possible to deny the right to deduct VAT and at the same time apply joint and several liability for tax not paid by the supplier.
Anti-trust office launches anonymous whistleblowing tool
The public and employees may now report suspected cartel agreements and other anti-competitive practices anonymously, as the Office for the Protection of Competition aims to strengthen the protection of economic competition.
EU: Strengthening air passenger rights
Demanding free-of-charge carry-ons or seat selection for children and transparent pricing when booking flights, the EU is going to battle against the practices of low-cost airlines. In June 2025, the EU’s Committee on Transport and Tourism adopted…
Will first ruling trigger class action avalanche?
Exactly one year after class actions were introduced into Czech law, the Municipal Court in Prague has ruled on the claims of customers to whom a company failed to deliver ordered goods. The customers presented their claims in joint proceedings and…