Tax & Legal Update
SC allows issuing strategic instruction to statutory body
A joint stock company’s general meeting may give binding strategic instructions to the board of directors if such authority has been vested in it by the company’s statutes. This is the conclusion formulated in the latest Supreme Court judgement. The…
There are sidewalks, and then there are sidewalks
The Constitutional Court has recently issued a judgment in the case dealing with an issue of whether a sidewalk is a separate item in the meaning of law, or part of a land plot. By its judgement, it reversed the lower courts´ decisions in the matter.
Starbucks can celebrate – Dutch APA issues most likely resolved
The EU General Court ruled in favour of Starbucks and the Dutch authorities and annulled the European Commission’s decision on illegal state aid provided within an advanced pricing agreement. At the same time, however, the court upheld the EC’s…
Access to workplace with fingerprint or face recognition? Office for Personal Data…
Technologies processing the biometric data of employees are spreading. The use of fingerprints or face recognition to check workplace attendance is becoming increasingly frequent. The GDPR, however, only allows for very limited processing of…
AML regulation: risk of penalties of up to CZK 130 million
Obliged persons under the AML Act will be subject to new duties whose violation may result in severe penalties that could be potentially destructive for smaller companies. The legal regulation of sanctions relating to anti-money laundering measures…
New calls to participate in EIC OP also available for large businesses
September has brought new calls to participate in the Enterprise and Innovations for Competitiveness Operational Programme (EIC OP), consisting of the Potential, Innovation, and Application Programmes. Subsidies will also be available for large…
Amendment to electronic reporting of sales and 10% VAT on food services and e-books
At the end of September, the president signed an amendment to the Act on the Electronic Reporting of Sales (ERS), based on which the remaining businesses and entrepreneurs so far omitted from the obligation will be subject to the mandatory…
Update on amendment to VAT Act for 2020 (quick fixes)
An extensive amendment to the VAT Act for 2020 (quick fixes), aiming to harmonise the VAT regime applicable to intra-community supplies of goods, has been submitted to the Chamber of Deputies. It implements the EU legislation and, therefore, within…
SAC: Czech VAT regulation contrary to EU directive
The Ministry of Finance is preparing an amendment to the provision regulating the tax exemption of exports. The amendment will remove the precondition that goods must have been released to a relevant customs regime. Nonetheless, remaining unclear is…
CJEU decision fundamentally changes concept of reference periods for determining…
The Court of Justice of the EU recently issued a judgment that will most likely affect most Czech (and other) employers. The decision fundamentally changes the approach to reference periods used for monitoring overtime work or unevenly distributed…
VAT upon early termination of financial leases
Recent CJEU case law has confirmed that amounts charged upon the early termination of financial leases do not always have be viewed as supplies not subject to VAT. This applies even to payments previously defined in contracts as damage compensation,…