Tax & Legal Update
Last calls under OPEIC
The end of the programme period for the Operational Programme Enterprise and Innovation for Competitiveness (OPEIC) is approaching, but support may still be drawn. On 24 November 2020, the Ministry of Industry and Trade announced another call under…
2021 tax package
The Chamber of Deputies has passed an amendment to the tax laws for 2021 (Print No. 910) in the third reading. The bill is now to be debated by the Senate. The most important changes that the tax package introduces to income tax are the abolition of…
Ministry of the Interior’s operations limited during pandemic
As the pandemic develops, the functioning of some departments of the Ministry of the Interior, namely the Department of Asylum and Migration Policy (OAMP) and the Department of the Foreigners’ Police, has been changed. Until now, only clients with…
Travellers’ Traffic Light (Semafor) changing colours
On 9 November 2020, the Czech Ministry of Health disclosed a measure regulating the rules for foreign nationals arriving and staying in the Czech Republic. Countries are divided into three groups according to the level of risk of infection and are…
Antivirus A Plus – improved support for closed businesses
On 14 October 2020, the government extended Regime A of the Antivirus programme until the end of the year, and at the same time launched Regime A Plus with retroactive effect from October 1. The new regime offers significantly more favourable…
Second wave of emergency carer’s allowance
As in the spring, the government has responded to the second wave of the pandemic by taking steps to financially support both employers and employees, as well as the self-employed. Among other things, the measures adopted include an ‘emergency’…
Neither creditor nor debtor have to be VAT registered at the time of correcting tax…
Is it compatible with the VAT Directive that both creditor and debtor must be taxable persons for VAT purposes both when providing the supply and when correcting/reducing the taxable amount? The Court of Justice of the EU (CJEU) dealt with this…
Tax liberation package extended to retail and provision of services in business…
The Ministry of Finance adopted another tax liberation package, extending the waiver of road tax and income tax prepayments and VAT-related default interest to entrepreneurs operating in retail and the sale and provision of services that had to…
Second wave of applications for COVID – Rent support under way
Following the reintroduction of measures restricting retail and the provision of services, the government has come up with a second call to participate in the COVID – Rent programme. Applications may be submitted until 21 January 2021.
CJEU: Right to deduct VAT in full also for expenses benefiting a third party
In the Vos Aannemingen case (C-405/19), the Court of Justice of the European Union (CJEU) dealt with whether it is possible to deduct, in full, input VAT on expenditures that benefited a third party, and when such benefit shall be regarded as…
SAC sanctions CZK 1 mil fine for ‘Svarc’ system
In its June 2020 judgement, the Supreme Administrative Court (SAC) dealt yet again with the ‘Svarc’ system. The court held that a CZK 1 mil fine for allowing illegal work had been rightly imposed by the Labour Inspection Office. The decision should…