Tax & Legal Update
Amendment to Foreigners’ Residence Act not passed by Senate
In mid-June, the Chamber of Deputies approved the long-awaited bill to amend the Foreigners’ Residence Act and passed it on to the Senate. On 1 July, the Senate rejected the amendment. Below, we present the changes that the amendment was intended to…
Labour Inspection Office focuses on illegal employment and unlawful labour hire…
Illegal work and concealed agency employment are offences associated with the highest sanctions in the labour-law sphere, as the Labour Inspection Office may impose fines of up to CZK 10 million on employers. The office has been focusing on…
Minimising penalties - how to claim a waiver?
Depending on the results of a tax inspection, a penalty of 20% of the additionally assessed tax or 1% of the amount by which a tax loss was reduced may become due. This amount is fixed, and cannot be reduced by tax administrators on their own.…
Second call under COVID – Uncovered Costs programme
The Ministry of Industry and Trade has prepared a second call to participate in the COVID – Uncovered Costs programme, aiming to compensate for fixed costs incurred by entrepreneurs reporting significant decreases in sales compared with the period…
Amendment to VAT Act 2021: EU directive’s direct effect applicable in majority of e…
An e-commerce amendment to the EU VAT Directive has been in effect since 1 July 2021. Unfortunately, the Czech Republic has not yet implemented it: the relevant amendment to the Czech VAT Act is still awaiting approval by the Senate. In its recently…
Detailed home office regulation still not in sight (II): employee monitoring
In this article, we deal with the pitfalls that the monitoring of employees working from home may pose for employers. In this case, the employer’s right to know whether employees are performing the assigned work during working hours and are not…
Final calls for popular programmes under OP EIC
Last calls under the Potential, Application and Innovation – Innovation Project programmes were announced under the Operational Programme Enterprise and Innovation for Competitiveness (OP EIC) that is slowly drawing to an end. These programmes are…
Future direction of EU business taxation
The European Commission has issued its Communication on Business Taxation for the 21st Century, summarising current actions and future plans in response to the OECD debate on changes to international tax rules and the introduction of minimum…
CJEU on roaming services’ place of supply
In the case of SK Telecom Co. Ltd, No. C-593/19, the Court of Justice of the EU (CJEU) dealt with the determination of the place of supply for roaming services, following the rule of effective use and enjoyment.
Current developments in green finance
Although the Czech Republic is hardly a European leader in green investment and sustainable finance, financial institutions, headed by big banks, are getting ready for the new regulation. Apart from increasing transparency, the following years will…
Last year’s development of competition law – Czech Anti-Trust Office case law (II)
In this article, we summarise the decision-making practice of the Office for the Protection of Competition (“Anti-Trust Office”) in individual areas, including related statistics. We also focus on how successful competitors have been in…
Ministry of Labour and Social Affairs provides easier labour market access for…
The employment of foreigners has long raised a number of practical questions that employers and foreigners themselves often find difficult to answer. The Act on the Residence of Foreign Nationals in the Czech Republic (Foreigners’ Residence Act) or…