Case law
Municipal Court in Prague: tax returns declaring lower tax may not be filed after…
The deadline for filing an additional tax return is the end of the month following the month in which a taxpayer learned that the tax concerned had been determined incorrectly, irrespective of whether an additional tax return declares a lower or…
Unexpected CJEU judgment: commissionaire structure application
In Case C-707/18, regarding Romanian law, the Court of Justice of the EU (CJEU) dealt with an issue concerning the purchaser who in their own name and at their own expense ensured administrative acts necessary to complete a sale of plots of land.…
SAC: vacation compensation to be included in R&D allowance
In recent judgement 1 Afs 429/2018, the Supreme Administrative Court (SAC) expressed its opinion on a widely discussed question: whether wage compensation paid to employees on vacation may be included in expenses claimed within a research and…
SC on breach of work duties by bank employee
The Supreme Court (SC) confirmed the validity of an immediate termination of employment of a bank employee working as a cashier. Entirely in line with its previous case law, it confirmed that duty breaches by bank employees must be viewed more…
Not keeping track of the other statutory representative? You are jointly liable for…
The Supreme Court (SC) is sending a warning to statutory representatives in limited liability companies: if you do not monitor your colleagues, you are in breach of the fiduciary duty / due managerial care, therefore co-liable for damage that would…
Surprising SAC judgment on taxation of income from sale of securities by individuals
The Supreme Administrative Court (SAC) opined on how individuals should proceed when determining the tax base for the sale of securities in foreign currencies (2 Afs. 4/2019 -38). The court held that the Income Tax Act gives taxpayers the option to…
CJEU: German withholding tax on dividends paid to pension funds contrary to EU law
The Court of Justice of the EU (CJEU) issued a ground-breaking judgment concerning German withholding tax on dividends paid to foreign pension funds. According to the court, the withholding tax restricts the free movement of capital and is therefore…
Operation of ATMs not VAT exempt
In the Cardpoint (C-42/18) case, the Court of Justice of the EU (CJEU) held that services comprised of the operation and maintenance of ATMs, including their replenishment and software and hardware installation, are not ‘transactions concerning…
Financial administration’s employee bonuses for additionally assessed tax criticised…
The Supreme Administrative Court (SAC) commented on the possible bias of tax officers who had assessed additional tax for errors concerning research and development allowances. Early in 2016, the financial administration issued rules on awarding…
Unauthorised download of corporate data on a flash disc a particularly gross breach…
The Supreme Court sided with an employer who had immediately terminated the employment of an employee who without authorisation had downloaded 2.2 GB of work-related data on his flash disc. This is good news for all employers, though it must be…
Data leaks could cost you dearly
Last year, one of the historically highest penalties for breaches of personal data protection, CZK 1.5 million, was imposed on a well-known e-shop that had failed to protect its customers’ personal data including passwords to their user accounts. …
Purchased IT services from a transfer pricing perspective
In a transfer pricing case, the Supreme Administrative Court (SAC) opined on the role of comparative analysis in evidentiary proceedings. The court, among other things, accepted the technique of assessing the adequacy of costs by comparing the total…