Case law
SAC on how to interpret double taxation treaties
If a double taxation treaty can be applied, the tax administrator may not automatically use domestic legal regulations to interpret a treaty’s individual concepts but must apply international law principles and the commentaries to the OECD’s Model…
Research and development allowance for clinical studies
In a recent judgement, the Supreme Administrative Court (SAC) held that a research and development allowance had been claimed unlawfully, as the project in question had no element of novelty. The SAC dealt with the third phase of clinical research…
Not granting personal data subject’s request is an administrative decision
The Supreme Administrative Court (SAC) dealt with the admissibility of an action for protection against unlawful infringement by an administrative body in a case where a personal data subject was not satisfied with how their request under the…
SAC: filing additional tax return a preferred option to initiating tax inspection
Where the tax authority has reason to expect that additional tax will be assessed, taxpayers must be given a chance to correct their error by filing an additional tax return. Typically, these are cases where the conclusions of a single tax…
Transfer price checks also in personal income tax inspections
Transfer prices between related parties remain a priority of tax administrators’ inspection activities. As much as the general public believes that this only concerns corporate entities and cross-border transactions, the recent Supreme…
SAC on proving intra-group services
In November 2017, the Regional court in České Budějovice ruled against a taxpayer in a dispute concerning the provision of services within a group. The court agreed with the tax administrator’s conclusions as to the lack of probative value of the…
Concurrence of offices, yet again
The concurrence of offices is an evergreen in corporate law. The present back-and-forth exchange of opinions between the Supreme Court and the Constitutional Court is certainly interesting. But will they finally arrive at a straightforward result?
SAC: Involvement in tax fraud must always be proved by tax administrator
The Supreme Administrative Court (SAC) dealt with a case in which the tax administrator denied a taxpayer’s entitlement to deduction of VAT on received taxable supplies, claiming that the taxpayer knew or should have known that they had been…
SAC ruling: ‘mistakes can cost you’ also applies to excess deductions
The Supreme Administrative Court (SAC) continues the trend of defending taxpayers against unlawful or incorrect practices of tax administrators. In its recent judgement 1 Afs 28/2018, it awarded a taxpayer interest on the wrongful conduct of a tax…
Active defence pays off in tax fraud investigations
The Supreme Administrative Court (SAC) has brought a new perspective on proving the taxpayer’s involvement in a transaction affected by tax fraud. While remaining consistent with its previous case law as to the distribution of the burden of proof,…
SAC on proving VAT exempt supplies to another EU member state
In its recent judgment, the Supreme Administrative Court (SAC) dealt yet again with the case where the VAT exemption of a cross-border supply of goods was challenged by a tax administrator. Apart from the specific circumstances of the case, the…
Users may be responsible for Facebook’s activity
The recent judgement of the Court of Justice of the EU (CJEU) will not please many administrators of ‘fan pages’ hosted on Facebook: in its ruling in case C 210/16 ULD vs. Wirtschaftsakademie, the CJEU concluded that the administrator is in the…