Tax & Legal Update
Default interest: how it arises and how to reduce it
At the end of June, the Czech National Bank raised the repo rate again, this time to 7% p.a. This significantly affects the amount of interest under the Tax Procedure Code. From 1 July 2022, default interest will be calculated at a rate of 15% p.a.…
Statutory body liable for unpaid VAT?
Advocate General Juliane Kokott has recently dealt with whether the general joint and several liability of a statutory body falls within the scope of the VAT Directive (due to a company's inability to pay its VAT debt). She also commented on whether…
SAC on default interest waivers
In its judgment 4 Afs 311/2021-33, the Supreme Administrative Court (SAC) addressed whether it is possible to grant a taxpayer's request for a waiver of default interest that has arisen from incorrect VAT treatment. The entity themselves actively…
SAC: no delivery on weekends and holidays, not even by fiction
The Supreme Administrative Court (SAC) has ruled on an age-old dispute: the fiction of delivery to a data box can only occur on a working day. Therefore, if the 10-day period from the date of delivery of a message to the data box elapses on a…
CJEU limits processing air passengers’ personal data
The beginning of the summer holidays was marked by the Court of Justice of the EU (CJEU) ruling concerning air travel, passengers' personal data, and prevention of terrorism. The CJEU primarily addressed the validity of the Passenger Name Record …
SAC clearly interprets Svarc system in context of contracts for work concluded…
The Supreme Administrative Court recently issued another judgment concerning Svarc system and disguised employment mediation. In the court’s opinion, to assess whether there is a relationship of (an employer’s) superordination and (an employee's)…
Subsidies to support digitisation
On 9 June 2022, the Ministry of Industry and Trade announced the first calls for support for enterprise digitisation from the National Recovery Plan. Support in the form of subsidies for the purchase and implementation of advanced digital…
Tax priorities of the Czech EU Presidency
During the Czech Presidency, the EU Council will have to deal with several tax regulations that are in various stages of preparation or approval.
SAC held issue of one-crown bonds abuse of law
In its recent judgment, the Supreme Administrative Court (SAC) dealt with the issue of one-crown bonds that effectively redirected a portion of funds from a cash pooling structure to one-crown bonds with long-term maturity. The court ruled that the…
How to extend the deadline for filing a tax return beyond the regular deadline?
The basic deadlines for filing income tax returns for the 2021 calendar year already passed on 1 April or 2 May, where the three-month or four-month deadline for electronic filing is concerned, respectively. The final statutory six-month deadline,…