Tax & Legal Update
Municipal Court in Prague: tax returns declaring lower tax may not be filed after…
The deadline for filing an additional tax return is the end of the month following the month in which a taxpayer learned that the tax concerned had been determined incorrectly, irrespective of whether an additional tax return declares a lower or…
New CRD and CRR
The Ministry of Finance has prepared a bill implementing the CRD V directive and CRR II regulation. The new EU legislation brings changes affecting mainly the banking sector as it revises the rules of capital adequacy and capital reserves and…
Unexpected CJEU judgment: commissionaire structure application
In Case C-707/18, regarding Romanian law, the Court of Justice of the EU (CJEU) dealt with an issue concerning the purchaser who in their own name and at their own expense ensured administrative acts necessary to complete a sale of plots of land.…
Ministry of Finance income tax plan for 2021
2020 has just begun, but two new amendments to the Income Tax Act for 2021 are already being discussed. The ministry is planning to introduce a lump-sum tax for selected individuals, monetary contributions for employee meals and the cancellation of…
Transfer prices targeted by auditors
January is traditionally a month in which KPMG’s tax department becomes involved in the examination of the financial statements of its audit clients, as transfer pricing may be associated with significant tax risks. Our audit teams assess these…
Application of beneficial ownership and anti-abuse principles in the EU
Courts across the EU have been inspired by the so-called Danish judgements of the Court of Justice of the EU, and so some national courts’ decisions on the taxation of dividends and interest payments received by holdings have followed the beneficial…
VAT on fuel cards to be affected by CJEU case law
Fuel card transactions are operated all across the EU. Therefore, some new measures being implemented in just some of the member states might be problematic. Hence, most EU states are still reluctant to apply the Court of Justice of the EU’s…
Brexit from a Czech immigration law perspective
With the last day of January, the never-ending story of Brexit finally ended. The law implementing the withdrawal agreement was passed by the Parliament of the United Kingdom of Great Britain and Northern Ireland early this year and signed by Queen…
Government (not) approving investment incentives
Three applicants for investment incentives were denied financial support to acquire fixed assets by the government. Applications for the support of strategic investment projects were submitted by investors under the previous legislative regime. Aid…
News in cross-border business conversions – demerger by separation
Demergers as a form of business conversion quite common in the Czech context and a useful tool to manage risks and tax aspects of transactions, have finally been harmonised on the EU level. The amendment to the respective directive introduces new…
Quick fixes: GFD information and amendment to EC explanatory notes
The Czech amendment to the VAT Act implementing quick fixes is still waiting for its second reading in the Chamber of Deputies. At the end of January, the General Financial Directorate disclosed information confirming the option of invoking the EU…