Tax & Legal Update
Fifth call under TREND
The Technology Agency of the Czech Republic (TA CR) informed about the preparation of the 5th call to participate in the TREND programme, sub-programme 1 - Technology Leaders. The original announcement scheduled for 22 December 2021 had been…
New GFD information on claiming tax losses
At the end of 2021, the General Financial Directorate issued its information on the application of a special provision on claiming tax losses as an item deductible from the tax base under Section 38zh of the Income Tax Act.
Coordination Committee: Tax base correction upon payment of bonuses to insurance…
Within the Coordination Committee (No. 586/15 September 2021), the Chamber of Tax Advisors and the General Financial Directorate (GFD) discussed the issue of correcting the tax base for payments (bonuses) paid in arrears to health insurance…
What’s new in tax for employees in 2022?
With the new year come changes in the taxation of employees and social security and health insurance contributions. The basic tax relief per taxpayer has increased and the limit from which wages are taxed at 23% under progressive income taxation has…
Reintroduction of the compensation bonus for entrepreneurs
Considering the renewed spread of the SARS-COV-2 virus and new restrictive measures that may negatively impact business operations, the chamber of deputies approved the Compensation Bonus Act for 2022 in a fast-track legislative procedure. The bill…
How to set wage ranges in job vacancy reports
When employing foreigners, reporting job vacancies to the Labour Office is an important step. Practice shows that when preparing a job vacancy report, it is important to correctly define not just the required qualification and place of work, but…
Regional court: tax administrator erred in applying transfer pricing rules to…
The Regional Court in Hradec Králové sided with the taxpayer against a tax administrator who, without any basis in law, treated a part of a company's transactions with independent entities as controlled transactions. The tax administrator then…
EP: multinationals to publish profits and taxes paid in individual countries
On 11 November 2021, the European Parliament approved a proposal for the directive introducing public country-by-country reporting. The CbC report, informing, among other things, about profits generated and taxes paid, broken down by individual…
New VAT rules for tour operators from 2022
Tour operators will encounter significant changes in the VAT area as of 1 January 2022. From that date, tour operators should start declaring VAT on advances received and should not calculate VAT based on aggregated monthly data. Furthermore,…
Carer’s allowance and self-isolation payment relaunched
Within the new wave of the pandemic, the number of adults and children becoming ill is again increasing, and so is the number of employees staying at home. The government has proposed restoring benefits for employees who are unable to attend work.
GFD clarifies procedure regarding VAT waiver for electricity and gas
According to the General Financial Directorate (GFD), the waiver of VAT shall apply to electricity intended for any purpose. As for gas, the waiver shall apply both to supplies through the distribution system, and to tankers and cylinders. The GFD…