Taxes
Economic turmoil also affecting transfer prices
Inflation is one of the main economic issues for 2022. The impact of high input prices and disrupted supply chains are other factors businesses must cope with. But there are also other adverse factors. The slowing economy has also revealed new…
VAT from January – what’s new and what remains unchanged?
This new year brought only a few changes: the end of the waiver of VAT on supplies of electricity and gas; major differences in VAT for tour operators; and simplified Intrastat reporting. In contrast, the amount of turnover for statutory VAT…
New GFD information on claiming tax losses
At the end of 2021, the General Financial Directorate issued its information on the application of a special provision on claiming tax losses as an item deductible from the tax base under Section 38zh of the Income Tax Act.
Coordination Committee: Tax base correction upon payment of bonuses to insurance…
Within the Coordination Committee (No. 586/15 September 2021), the Chamber of Tax Advisors and the General Financial Directorate (GFD) discussed the issue of correcting the tax base for payments (bonuses) paid in arrears to health insurance…
What’s new in tax for employees in 2022?
With the new year come changes in the taxation of employees and social security and health insurance contributions. The basic tax relief per taxpayer has increased and the limit from which wages are taxed at 23% under progressive income taxation has…
GFD clarifies procedure regarding VAT waiver for electricity and gas
According to the General Financial Directorate (GFD), the waiver of VAT shall apply to electricity intended for any purpose. As for gas, the waiver shall apply both to supplies through the distribution system, and to tankers and cylinders. The GFD…
New VAT rules for tour operators from 2022
Tour operators will encounter significant changes in the VAT area as of 1 January 2022. From that date, tour operators should start declaring VAT on advances received and should not calculate VAT based on aggregated monthly data. Furthermore,…
Reintroduction of the compensation bonus for entrepreneurs
Considering the renewed spread of the SARS-COV-2 virus and new restrictive measures that may negatively impact business operations, the chamber of deputies approved the Compensation Bonus Act for 2022 in a fast-track legislative procedure. The bill…
Deputies do not approve digital tax
In the just-ended parliamentary term, the Czech Chamber of Deputies did not approve the bill on a digital service tax. Hence the bill would have to go through the entire legislative process again should the new government want to introduce a digital…
VAT on electricity and gas supplies to be waived
Based on Wednesday’s decision by the Minister of Finance, VAT on supplies of electricity and gas, their acquisition from another EU member state, and their imports is to be waived. The waiver shall apply to all supplies with the date of taxable…
Implementation of DAC 7 in Czech legislation
DAC 7 introduces a new reporting obligation for operators of platforms – software allowing sellers and users to connect. The Ministry of Finance has prepared a bill to implement the directive, which is currently going through the comment procedure.…
New income tax credit
Recently published in the Collection of Laws, an extensive amendment to the Enforcement Procedure Code and Civil Procedure Code among other things contains an amendment to the Income Tax Act introducing a new income tax credit for taxpayers in the…