Taxes
Bookkeeping in foreign currency: how to determine functional currency and make…
The Ministry of Finance has published a draft amendment to the decree for entrepreneurs implementing the Act on Accounting. The new wording of the decree is related to the changes introduced by the consolidation package: provisions regulating the…
New rules for presentation of top-up tax in accounting
Entrepreneurs, banks, and insurance companies accounting for deferred tax will not have to consider the top-up tax when calculating deferred tax. However, they will be obliged to provide information about the top-up tax in the required extent in the…
Amendment to the VAT Act 2024: notification obligation for payment service providers
The Chamber of deputies has approved a draft amendment to the VAT Act that is to come into effect on 1 January 2024. Amending proposals that have been passed mainly concern the development of case law around tax submissions using prescribed forms.…
ViDA: extension of OSS and introduction of single VAT registration
The VAT in the Digital Age (ViDA) proposal promises to modernise the VAT system across the European Union, aiming to increase EU tax revenue, digitalise reporting, defend against tax fraud more effectively, and move towards a definitive VAT system.…
CBAM reporting in force since 1 October
From 1 October 2023, companies importing selected products from non-EU countries whose production is CO2-intensive (e.g., cement, aluminium, fertilisers, electricity, hydrogen, iron and steel and downstream products such as screws and bolts) are…
Proposed changes to consolidation package
The governing coalition has agreed on amendments to the bill on the consolidation of public budgets (consolidation package with planned effect from 1 January 2024). The bill has already passed its first reading in the chamber of deputies. Below, we…
VAT in Digital Age (ViDA): digital reporting and e-invoicing
The draft ViDA Directive modernises the indirect tax system across the European Union, aiming to increase EU tax revenues, digitalise reporting, defend against tax fraud more effectively, and move towards a definitive VAT system that will view cross…
GFD extends range of goods donations subject to VAT on minimum value
The General Financial Directorate (GFD) has issued its long-awaited Information on the Application of VAT on Gratuitous Supplies of Goods. It will now be possible to donate perishable food and non-food goods with a minimum expiry date under more…
Possibility to keep accounts in foreign currency now part of consolidation package
The governing coalition has agreed on amendments to the bill on the consolidation of public budgets (the consolidation package planned to enter into effect from 1 January 2024). The bill has already passed the first reading in the chamber of…
Consolidation package may negatively affect VAT on lease and resale of cars above…
The government's consolidation package limits the right to deduct VAT for passenger vehicles in category M1 with a purchase price of over CZK 2 million. This will have a negative impact on the lease of passenger cars with a purchase price above the…
Coordination Committee clarifies changes to VAT Act for real estate
The Coordination Committee of the General Financial Directorate and the Chamber of Tax Advisors of the Czech Republic has dealt with changes to the VAT Act in connection with new construction regulations. The changes will be effective from 1 January…
What will the consolidation package entail? Updates and clarifications
The governing coalition has introduced several legislative changes with which it intends to increase state budget revenues. Below, we aim to update and clarify information on the imminent regulations resulting from the material approved by the…