Tax & Legal Update
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,…
Questions surrounding VAT treatment of promotional events
In its recent judgement (No. 10 Afs 179/2020-56) the Supreme Administrative Court (SAC) concluded that a company that organised a promotional event was not entitled to the refund of input VAT on subcontracted supplies. According to the court, these…
CJEU's surprising conclusion on VAT rate for elevator repairs
The Court of Justice of the EU has ruled on the VAT rate for renovation and repairs of elevators in residential buildings and has also dealt with the VAT rate for the regular maintenance of elevators. In both cases, the conclusions are rather…
CJEU: implementation of concentration requiring clearance by competition authority…
In its recent judgment in case T-609/19, the General Court of the Court of Justice of the EU (CJEU) emphasised the need to distinguish between concentration and implementation of a concentration. This means that the implementation of a concentration…
SAC: intermediary services abroad must be proven as well
In a number of countries, trading is virtually impossible without a local intermediary. In its recent judgment (8 Afs 315/2019), the Supreme Administrative Court (SAC) dealt with the burden of proof regarding intermediation of sale of goods in China…
VAT system fit for digital age now within reach
The forthcoming reform of the VAT system is intended to improve the efficiency, fairness, and collection of tax and reduce VAT fraud. The European Commission is currently preparing concrete proposals on digital reporting, the application of VAT to…
Draft DEBRA directive allows deducting notional interest on equity financing
The European Commission has published a proposal for a directive that should balance the tax disadvantages of equity financing compared to debt financing (debt-equity bias) by allowing taxpayers to deduct from the tax base notional interest on newly…
EU: new rules for customer-supplier contracts
The European Commission has issued a new regulation stipulating exemptions from the ban on vertical agreements. What to watch out for when concluding distribution and other customer-supplier contracts from 1 June 2022?
Lump-sum compensation for employers upon garnishment of wages
On 1 January 2022, an amendment to the Enforcement Procedure Code entered into force, addressing multiple enforcement proceedings against a single debtor and amending the rights of parties to the proceedings. Apart from substantially improving the…
Support for research and development: DELTA 2 programme opens
On 18 May 2022, the Technology Agency of the Czech Republic (TA CR) announced the fourth call within the DELTA 2 Programme for Support of Applied Research, Experimental Development and Innovation. The programme supports the transfer of international…
New call to support water saving in industry
On 5 May 2022, the Ministry of Industry and Trade announced a long-awaited call for water saving in industry. This is the first call of its kind under the National Recovery Plan.