Fuel card market to change significantly?
The application of VAT on fuel cards is a much debated topic among the professional public, mainly due to the lack of relevant legislation. The EC's VAT Committee has issued a working paper which rather surprisingly does not entirely conform to the…
Penalty for filing VAT ledger statement for incorrect taxable period
In case 5 Afs 281/2021-34, the Supreme Administrative Court (SAC) dealt with the question of whether a CZK 50,000 penalty had been legitimately imposed on an entity who had incorrectly filed a VAT ledger statement for a previous period. The SAC…
Statutory body liable for unpaid VAT?
Advocate General Juliane Kokott has recently dealt with whether the general joint and several liability of a statutory body falls within the scope of the VAT Directive (due to a company's inability to pay its VAT debt). She also commented on whether…
Development in administrative practice for fuel cards
The VAT treatment of fuel cards is a closely watched topic. Although the cards are frequently used by vehicle operators to refuel, the VAT Act does not offer any detailed guidance on the correct application of the tax: the VAT treatment of these…
Interest on retained excess VAT deductions: SAC clarifies practice
In its current judgment, the Supreme Administrative Court (SAC) revisited the topic of interest on retained excess VAT deductions. This time, the court declared unlawful the practice whereby as of 1 July 2017 the tax administrator reduced the…
VAT fixed establishments and foreign subsidiaries
The Court of Justice of the EU (CJEU) has dealt with the question of whether a parent company‘s VAT fixed establishment originates in another EU member state where its subsidiary is located and provides the parent company with marketing and other…
One-stop-shop and VAT in the digital age
The Council of the EU and the European Commission are preparing further steps on VAT to simplify cross-border transactions and the import of goods into the EU for end consumers. The digitisation of VAT reports, electronic invoicing and harmonisation…
Donations to Ukraine: Does VAT obligation arise?
The General Financial Directorate has issued summary information on VAT implications of making donations to support Ukraine. While for income tax, Czech laws can be amended to respond flexibly, the situation is rather more complicated for VAT, as…
Leaseback: change in VAT treatment
Within the Coordination Committee of the Czech Chamber of Tax Advisors and the General Financial Directorate, the financial administration confirmed that they will start applying the Court of Justice of the European Union’s interpretation to…
Duty to declare tax on one-time supplies paid in instalments
In Case C-324/20, the Court of Justice of the European Union addressed the question of when the duty to declare VAT occurs for one-time supplies paid for in instalments.
Changes in VAT rate on supply of medical devices
The amendment to the VAT Act in effect from 1 January 2022 narrows the scope of medical devices subject to the reduced VAT rate. If you buy or sell medical devices, we recommend you check whether this amendment also applies to your goods.
VAT from January – what’s new and what remains unchanged?
This new year brought only a few changes: the end of the waiver of VAT on supplies of electricity and gas; major differences in VAT for tour operators; and simplified Intrastat reporting. In contrast, the amount of turnover for statutory VAT…