Tax & Legal Update

Top-up taxes: extension of deadlines for tax returns and information returns

The chamber of deputies has approved an amendment to the Act on Top-Up Taxes extending the deadlines for filing the first-time Czech top-up tax returns and information returns to 18 months after the end of the taxable period. The amendment…

Advocate General comments on VAT treatment of tooling

The Advocate General of the Court of Justice of the European Union (CJEU) has confirmed the current approach to the VAT treatment of the sale of tooling (moulds), whereby it is a supply of goods without transport and therefore a taxable supply at…

Supreme Court: Chanel can choose its distributors

Chanel, a French luxury cosmetics and perfumes manufacturer, has for many years been involved in a legal dispute with the Czech company Notino. The subject of the dispute was Notino's obligation to provide information on the origin of Chanel’s…

Subsidies for photovoltaics are here

From 1 July 2025, it has been possible to apply for support under the Modernisation Fund, in particular from call RES+ No. 1/2025 - Photovoltaic Power Plants up to 5 MWp with Self-Consumption.

Deputies approve single monthly employer reporting

On 27 June 2025, the chamber of deputies approved the Bill on Single Monthly Employer Reporting (in Czech: jednotné měsíční hlášení zaměstnavatele or JMHZ) and its accompanying law.

AML Regulation: uniform rules and stricter supervision in the EU

The European Union is tightening and further harmonising its rules against money laundering and the financing of terrorism (AML/CFT). The new Anti-Money Laundering (AML) Regulation introduces a uniform and directly applicable framework for all…

Municipal court: VAT and gratuitous supply of land

The Municipal Court in Prague stated in its judgment that the tax base upon a contribution of land into a business company is its residual value if the right to deduct VAT was at least partially claimed upon its acquisition.

Supreme Court: landmark decision on termination of employment of foreigners

Czech legislation sets strict conditions for the employment of foreigners, especially from non-EU countries. Failure to comply with these conditions may result in fines of up to CZK 10 million and other negative consequences. Nonetheless, this…

Health checks for workers under agreements on work outside employment discussed again

Since 1 June, an amendment to the Labour Code (the Flexinovela amendment) has brought employers a major loosening regarding occupational health examinations, as it abolished the obligation to carry out initial health examinations for employees…

One Big Beutiful Bill

On May 22, the US House of Representatives passed a bill with the unusual title of the One Big Beautiful Bill Act (OBBBA).