Tax & Legal Update
Czech digital tax: when and in what form to expect it
A proposal for the introduction of a digital tax has been before the chamber of deputies for several months now. The originally proposed effectiveness from mid-2020 has come and gone. The introduction of this tax is currently being debated again.
Reporting under DAC 6 postponed in the Czech Republic and other EU member states
The Czech Republic has utilised the option to postpone reporting duties arising from DAC 6 until the first months of 2021, as made possible by the COVID-19 DAC amendment adopted in response to the COVID-19 pandemic. Notably, some EU member states…
Current state of subsidy programmes
The end of the Operational Programme Enterprise and Innovation for Competitiveness (OPEIC) period is approaching. Below, we provide an overview of the calls currently open, mainly focusing on research and development and innovations in production.…
Changes to tax depreciation to support investment
Among other things, the government intends to reboot the economy with measures relating to corporate income tax, proposing a reduction of the tax depreciation periods for a selected group of tangible fixed assets, an increase of the limit for…
Supreme Court: same wage for same work in Prague and elsewhere
The Supreme Court (SC) ruled that a driver working in the regional town of Olomouc is entitled to the same wage as a driver working for the same employer and at the same position in Prague. According to the SC, external social and economic…
Last calls for Potential, Innovation and Application Programmes
In late August and early September, the Ministry of Industry and Trade announced the long-awaited last calls within the Enterprise and Innovation for Competitiveness Operational Programme (OPEIC). These include calls to participate in programmes…
First change to new investment incentive criteria
In response to the coronavirus pandemic, the Ministry of Industry and Trade has submitted an amendment to the Government Decree on Investment Incentives aiming to provide more substantial support for investments involving selected strategic products…
Business with Northern Ireland after Brexit
The European Commission has prepared a draft of changes to the VAT rules applicable to trading with Northern Ireland. The draft has been submitted as part of the preparations for Brexit at the end of this year. The new rules adjust the existing…
Italian Supreme Court applying beneficial ownership and abuse of right
In its July judgement, the Italian Supreme Court applied the principles formulated by the Court of Justice of the EU (CJEU) in the Danish cases clarifying certain preconditions for applying an exemption from withholding tax under the EU directive on…
Adaptation/integration courses for foreigners in the CR
The adaptation and integration of foreigners has been a hot topic worldwide. The first element of foreigner integration was introduced to Czech legislation already in 2009 in the form of a Czech language exam as a precondition for certain types of…
Immovable property acquisition tax – to pay or not to pay?
The bill to abolish the immovable property acquisition tax is currently going through the legislative process. The Ministry of Finance had expected it to pass smoothly and become valid by the end of 2020. The related extraordinary measure of June…