Taxes
VAT in Digital Age (ViDA): digital reporting and e-invoicing
The draft ViDA Directive modernises the indirect tax system across the European Union, aiming to increase EU tax revenues, digitalise reporting, defend against tax fraud more effectively, and move towards a definitive VAT system that will view cross…
Proposed changes to consolidation package
The governing coalition has agreed on amendments to the bill on the consolidation of public budgets (consolidation package with planned effect from 1 January 2024). The bill has already passed its first reading in the chamber of deputies. Below, we…
GFD extends range of goods donations subject to VAT on minimum value
The General Financial Directorate (GFD) has issued its long-awaited Information on the Application of VAT on Gratuitous Supplies of Goods. It will now be possible to donate perishable food and non-food goods with a minimum expiry date under more…
Possibility to keep accounts in foreign currency now part of consolidation package
The governing coalition has agreed on amendments to the bill on the consolidation of public budgets (the consolidation package planned to enter into effect from 1 January 2024). The bill has already passed the first reading in the chamber of…
Coordination Committee clarifies changes to VAT Act for real estate
The Coordination Committee of the General Financial Directorate and the Chamber of Tax Advisors of the Czech Republic has dealt with changes to the VAT Act in connection with new construction regulations. The changes will be effective from 1 January…
Consolidation package may negatively affect VAT on lease and resale of cars above…
The government's consolidation package limits the right to deduct VAT for passenger vehicles in category M1 with a purchase price of over CZK 2 million. This will have a negative impact on the lease of passenger cars with a purchase price above the…
What will the consolidation package entail? Updates and clarifications
The governing coalition has introduced several legislative changes with which it intends to increase state budget revenues. Below, we aim to update and clarify information on the imminent regulations resulting from the material approved by the…
Can lessees claim deduction of import VAT?
The VAT Committee again considered the possibility for lessees to deduct import VAT if the lessee is also the person liable to pay import VAT. It reiterated that to exercise the right to deduct, it is necessary for the taxable person to have…
Simplifying rules for payment of insurance premiums for cross-border workers at home…
To avoid discrimination against cross-border workers, the European Commission has introduced a framework agreement that allows working from home (teleworking) from abroad to a larger extent without employers having to register and pay insurance…
Consolidation package I: Overview of main changes in taxation
Major changes in tax and social security and health insurance premiums are to affect not just companies, but also employees and workers. The abolition or reduction of personal income tax reliefs is being prepared, as well as changes in statutory…
Consolidation package II: Changes to personal income tax and social security
Major changes in tax and social security and health insurance premiums are to affect not just companies, but also employees and workers. The abolition or reduction of personal income tax reliefs is being prepared, as well as changes in statutory…
Construction industry: changes to VAT from July
In connection with the amendment to the Construction Act, an amendment to the VAT Act changes the definition of family houses and apartment buildings, which will have a broader definition from 1 July 2023. Accordingly, the General Financial…