Taxes
Changes to compensation bonus for self-employed
The general public’s response to the government-approved compensation bonus for the self-employed in connection with coronavirus-related emergency measures has been very negative, leading the government to revise the bill. The revised compensation…
Compensation bonus for the self-employed and notice on exempted income
The government has approved a bill on a compensation bonus payable to self-employed people in connection with emergency coronavirus measures. The bill has yet to be enacted by the Parliament and signed by the President. This, however, can be…
Tax liberation packages – practical recommendations
Keeping track of all tax-related measures published so far in connection with the coronavirus pandemic might be quite difficult. To help, below we are providing you with practical recommendations sorted by individual tax areas.
COVID-19: Tax Liberation Package II
On 24 March 2020, the Ministry of Finance published Financial Bulletin 5/2020, specifying other measures to mitigate the impact of the COVID-19 pandemic (Tax Liberation Package II). Measures that must be in form of laws have already been or will be…
Chamber of deputies acting under a state of legislative emergency
On 1 March 2020, a state of emergency was declared for 30 days. Along with other measures, the chamber of deputies approved the suspension of the electronic reporting of sales (ERS), deferments/waivers of social security and health insurance…
Validity of issued A1 certificates in the context of COVID-19 pandemic
The Czech Social Security Administration (CSSZ) has announced that migrating persons and their employers do not have to report to their local CSSZ a temporary change in circumstance (home office) in the Czech Republic or abroad.
COVID-19: tax package
The government approved a package of liberating tax measures to mitigate the impact of coronavirus pandemic.
CNB’s measures and their implications
The Czech National Bank (CNB) has opted to decrease basic interest rates effective from 17 March 2020. From a tax perspective, the most important decrease is the lowering of the repo rate by 50 basis points to 1.75%. This rate is decisive for…
Benefit cards considered vouchers under VAT Act
At the Coordination Committee’s meeting, the Chamber of Tax Advisors agreed with the General Financial Directorate (GFD) on the VAT treatment of benefit cards. Benefit cards enable their holders to acquire pre-defined benefits from pre-defined…
Employers’ perspective on plug-in hybrid vehicles
Until recently, Czech tax and labour-law legislation lacked any regulation of plug-in hybrid vehicles. If employers provided such vehicles to their employees for both business and private purposes, the determination of the employee’s non-monetary…
GFD publishes information on research and development allowances
In its information, the General Financial Directorate (GFD) comments on the amended regime for claiming research and development allowances, especially with respect to the new duty to notify the tax administrator of the intention to claim such an…
Quick fixes: chain transactions and transport allocation
The Czech amendment to the VAT Act implementing quick fixes is still awaiting the second reading in the chamber. Its effectiveness is therefore being postponed once again. In the meantime, the European Commission has issued its explanatory notes on…