Taxes
ViDA : key changes to VAT and their impact on EU business
The European Union reached a major milestone in tax policy when the ECOFIN Council approved a package of measures aimed at modernising VAT rules, known as the VAT in the Digital Age (ViDA) Directive in early November 2024. This comes after almost…
Ministry of Finance: new Accounting Act to take effect only from 2026
The Ministry of Finance has published an updated working version of the draft of the new Accounting Act and has confirmed that it is expected to come into effect from January 2026 at the earliest.
Exemption of income from sale of securities and shares in corporations restricted…
From 1 January 2025, income from the sale of securities and shares in corporations meeting the time test of three years for securities and five years for shareholdings will be exempt from personal income tax only up to CZK 40 million per taxpayer in…
VAT Act amendment coming into effect: overview of main changes
The chamber of deputies has approved an amendment to the VAT Act in its third reading. The senate is expected to approve the chamber's wording, and the planned effective date of 1 January 2025 will therefore be adhered to. Certain changes, in…
Taxes Chamber of deputies: proposal to abolish notified agreement scheme
The planned introduction of a ‘notified agreement’ scheme for agreements to perform work outside employment is likely to be cancelled. A proposal has also been submitted in the chamber of deputies to abolish mandatory social security and health…
New limit for health-related benefits
The chamber of deputies is currently debating an amendment to the Employment Act and other changes to laws. In the area of income tax, it is proposed to introduce a new limit specifically for health benefits, up to the amount of average wage. The…
Retirement savings products likely to face changes to compounding of savings periods
Amending proposals have been submitted as part of the forthcoming amendment to the Act on Child Care Services in Children’s Groups to ensure that savings periods are added up upon the transfer of funds to new retirement savings products and that the…
Employee stock option plans to revert to old rules of taxation of income from…
After almost a year of uncertainty over the taxation of income from employee stock option plans, a proposal to amend the Income Tax Act was submitted by deputies during the discussion of an amendment to the Act of Child Care Services in Children’s…
Increased tax support for donations to apply until 2026
The chamber of deputies proposes to extend the applicability of the increased limit on the value of donations that taxpayers may deduct at 30% of the tax base until 2026. It also proposes to maintain the tax relief for donations made in support of…
Sale and exchange of crypto-assets: proposed exemption from personal income tax
The chamber of deputies is currently discussing a bill amending certain laws in connection with the implementation of EU regulations on the digitisation of the financial market and sustainability financing (Print 694). During the second reading, a…
pCbCR: administrative burden or shift towards tax transparency?
Public country-by-country reporting is another of a range of obligations aimed at increasing transparency in the taxation of multinational companies and preventing profit shifting to countries with lower tax rates. Selected multinational companies…
Flood aid: overview of available tax relief
In response to the widespread flooding, the Czech Financial Administration and the Czech Social Security Administration have issued several notices for citizens and companies, offering tax payment deferment, penalty waivers, and tax relief. Read to…