SAC on proving conscious involvement in tax fraud in chain of supplies

The Supreme Administrative Court (SAC) has dealt with denying the right to deduct VAT to a company on the grounds of it being knowingly involved in VAT fraud. In its judgment, the court summarised the relevant case law for assessing VAT fraud.

Until when can additional tax return for lower tax be filed?

The extended chamber of the Supreme Administrative Court (SAC) has ended a long-standing dispute between the financial administration and taxpayers regarding the deadline for filing an additional tax return for lower tax. In doing so, the SAC sided…

Abuse of rights in real estate leases and VAT

The Municipal Court in Prague ruled on the distinction between leases of real estate and accommodation services, and its implications for VAT treatment. The court concluded that the case in question involved an abuse of rights.

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…

CJEU issues another judgment on fixed establishments for VAT purposes

The Court of Justice of the European Union (CJEU) has held that where a customer receives services based on an exclusive contract for the provision of services in a state other than the state in which their business is located, the resources of the…

VAT treatment of unauthorised electricity consumption

In Case C-677/21 Fluvius Antwerpen, the Court of Justice of the European Union (CJEU) ruled on whether a supply of electricity that is unvoluntary and a result of a third party’s unlawful conduct constitutes a taxable supply of electricity carried…

SAC: advertising services and the right to deduct VAT

In judgment 8 Afs 111/2022–36, the Supreme Administrative Court (SAC) assessed how far a taxpayer had discharged their burden of proof in a case involving received advertising services that were to be rendered within motorcycle races, among other…

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…

Consolidation package may negatively affect VAT on lease and resale of cars above set limit

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…

CJEU on the VAT treatment of electricity supplies from charging stations

In its recent judgment, the Court of Justice of the European Union (CJEU) held that the charging of electric vehicles and the provision of related services constitute a complex transaction consisting of a supply of goods.

Italy: platform use in exchange for user data is barter; VAT base is the data’s value

The Italian tax administration has assessed additional output VAT to a platform on which users can register and use it free of charge. According to the tax administrator, this involves the provision of services for consideration, more precisely…

CJEU on the VAT treatment of real property sales

In judgment C-239/22, the Court of Justice of the EU (CJEU) specified that the criterion of ‘first occupation’ of immovable property means the first use of the property by its owner or tenant. The application of VAT to the sale of the property then…