CJEU opens way to recovering twice paid VAT from state
The incorrect application of a VAT regime may have far-reaching consequences for taxpayers even if the state budget does not actually lose out. If the tax administration finds that the reverse charge regime has not been applied even though…
Liability for VAT in payments to foreign accounts contrary to EU law
A supply recipient’s liability for unpaid VAT if the payment for the supply is made by a transfer to a foreign account is contrary to EU law, according to a regional court’s recent decision (file No. 22 Af 102/2014).
Increasingly restrictive measures to secure tax collection
The tax authorities have recently adopted increasingly restrictive measures to collect as much tax as possible. One of these measures is the extended application of securing orders and their subsequent enforcement within a very short time. This,…
Change in VAT relating to the realisation of security
Already signed by the president, an amendment to the VAT Act introduces a considerable change for banks and other VAT payers who secure the future payment of their receivables with movable and immovable property. According to the new amendment,…
Stricter conditions for tax deductibility of expenses?
Some rulings by the Supreme Administrative Court (SAC) have surprising outcomes and de facto narrow the space for recognising expenses as tax-deductible by requiring proof that that a service was received from a specific supplier.
Penalties for VAT ledger statements: new waiver options
The General Financial Directorate (GFD) is expanding options to waive penalties for the failure to file VAT ledger statements, or for their late filing, amounting to CZK 10, 30 or 50 thousand. It will be possible to waive up to two penalties for…
The moment of export from a VAT perspective
Last year’s amendment to the VAT Act changed the definition of a tax document upon the export of goods. A recent contribution submitted by the Chamber of Tax Advisors for discussion in the coordination committee with the GFD clarifies the moment at…
SAC on VAT exemption
In tax inspections, tax offices increasingly focus on VAT fraud connected with the transit of goods. What to watch out for when delivering goods to another EU member state, and how not raise the tax authority’s suspicions? The recent Supreme…
Clarification of VAT regime on re-sale of telecommunication services
The General Financial Directorate (GFD) decided to respond to frequent inquiries regarding the purchase and sale of electronic communication services and issued a clarifying appendix to its already-published information. The application of a…
Deputies approve amendment to VAT Act
The chamber of deputies approved a government bill to amend certain tax laws, including the VAT Act and the Tax Procedure Rules. Amendments to both of these acts are to become effective on 1 April 2017. The summary of major changes in VAT focusing…
Latest news - January 2017
Last month’s tax and legal news in a few sentences.
GFD clarifies VAT regime upon resale of telecommunication services
Owing to a considerable degree of ambiguity primarily with respect to the resale of telecommunication services, the General Financial Directorate (GFD) decided to respond to frequent inquiries by publishing an appendix to the previously issued…