Taxes
Interest on retained excess deductions – SAC agrees with KPMG
The Supreme Administrative Court (SAC) issued a breaking decision concerning retained excess VAT deductions, confirming that interest on a tax deduction of 1% + repo rate in effect from 1 January 2015 to 30 June 2017 is in conflict with EU law. The…
Quick fixes: GFD’s information and EC’s amended explanatory notes
The Czech amendment to the VAT Act implementing quick fixes is still waiting for its second reading in the Chamber of Deputies. At the end of January, the General Financial Directorate disclosed information confirming the option of invoking the EU…
2019 through the financial administration’s eyes
The Report on the Activities of the Czech Financial Administration for 2019 brings very interesting statistical data and information. For example, in 2019, the financial administration completed a total of 30,073 tax inspections and procedures to…
Last chance to draw support from OPEIC
The Enterprise and Innovation for Competitiveness Operational Programme (OPEIC) under the Ministry of Industry and Trade (MIT) is slowly coming to a close before being replaced by the Technology and Application for Competitiveness Operational…
2021 tax package heading to the Chamber of Deputies
The government has submitted to the Chamber of Deputies a bill to amend tax laws in 2021. What news are to be expected in income tax? Apart from the monetary contributions for meals, the changes mainly concern bonds and reporting of income flowing…
Compensation bonus for persons working under agreements to complete job / perform…
The government has approved the provision of compensation bonuses also to persons performing work outside employment relationship, i.e. those who have been working based on an agreement to complete a job or an agreement to perform work resulting in…
When shall we report under DAC 6 for the first time?
The first-time reporting of cross-border arrangements, originally planned to occur already this summer, will be postponed, most likely to the beginning of the next year: the legislative process implementing DAC 6 has been delayed, and the amendment…
COVID-19 and transfer pricing policy – comparability analysis
With the economic downturn brought about by the COVID-19 pandemic, companies face the challenge of determining whether they should modify their transfer pricing policies. The decision has to be made at a time when comparable data necessary for the…
Postponement of digital economy taxation in both CR and other world countries
Despite assurances made in early March that the COVID-19 pandemic will not slow down negotiations on new international taxation rules applicable to the digital economy, the OECD has now made it clear that it is no longer certain that agreement will…
Determining super-gross wage to claim support under Antivirus Regime C
New Regime C of the Antivirus programme, waiving part of social security premiums and state unemployment policy contributions mandatorily paid by employers (i.e. 24.8% of the aggregate income of their employees) for June to August 2020, gives rise…
Liberation package III postpones filing of tax returns and payment of tax
In Financial Bulletin No. 9, the Ministry of Finance has published a third liberation package, generally and under certain conditions waiving tax, interest, and penalties. Among other things, sanctions for the late filing of personal and corporate…
Czech Republic deposits MLI with OECD depositary
On 13 May 2020, the Czech Republic deposited its instruments of ratification for the Multilateral Convention to Implement Tax Treaty Related Measures to Prevent Base Erosion and Profit Shifting (MLI) in Paris. So far, the MLI has been signed by 94…