Interest on interest according to SAC? Yes, sometimes
The Supreme Administrative Court (SAC) has recently dealt twice with the possibility of awarding a taxpayer interest on the interest that the tax administrator refused to award and pay for a long time. It is for sure good to know that this…
Better times ahead for cross-border trading taxpayers?
The Supreme Administrative Court has recently stood up for a taxpayer who effected a supply of goods to another member state, i.e. a transaction exempt from VAT with entitlement to deduction. The crucial point of the dispute was the taxpayer’s good…
Delivery of goods or provision of services?
Late last year, the Supreme Administrative Court (SAC) ruled in case 3 Afs 96/2016, dealing with whether a transaction should be viewed as a delivery of goods or a provision of a service; this had an effect on the correct VAT treatment.
SAC: tax inspections can be initiated by any tax authority
The 2016 amendment to the Act on the Financial Administration gave tax authorities country-wide jurisdiction in two areas: the fact-finding activity in tax administration, and the scrutiny procedures by the tax authorities, including tax inspections.
SAC on international requests for cooperation and time limits for tax assessment
Effective 1 January 2014, pending international requests for cooperation extend the period for which a tax may be assessed by the tax administrator. The SAC has now dealt with the interpretation of the effect of this regulation in terms of time: Do…
SAC: lapse period must be examined for securing orders as well
The Supreme Administrative Court (SAC) dealt with the question whether the lapse of the deadline for the assessment of tax renders it also impossible to issue orders to secure tax, and whether the tax administrator even has to examine this. The…
VAT not to be included in acquirer’s immovable property acquisition tax base
VAT will not be included in the immovable property acquisition tax base even if the person liable to this tax is the acquirer. Based on this, persons liable to immovable property acquisition tax may file additional tax returns and claim part of the…
SAC: VAT cannot be levied twice on the same transaction
The Supreme Administrative Court (SAC) granted many VAT payers’ Christmas wishes by its favourable ruling regarding the fight against tax fraud. In the FAU case, attracting considerable media attention, the court said no to the concurrence of…
Pitfalls of outsourcing: The ‘Švarc system’ and agency employment
With the recent economic growth, the demand for employees has been increasing, making them scarce goods. Shortages of staff may be partly resolved by outsourcing some activities. This approach, however, entails numerous pitfalls, most importantly…
SAC confirms ‘tax inspections beyond regional borders’
Increasingly often, the financial administration has been concentrating related tax inspections into the hands of a single tax administrator. This concept, referred to as ‘delegation’, considerably simplifies the work of the tax authorities. For…
Technical improvements and advertising services once again on the SAC’s agenda
The Supreme Administrative Court (SAC) in its recent judgement dealt yet again with the issue of repairs vs technical improvements and the application of related depreciation by a tax administrator during a tax inspection. The court also opined on…
GFD guideline on research and development
Case law of the Czech Supreme Administrative Court confirms that a flawless research and development project represents a necessary precondition for claiming a research and development deduction in a tax return. The General Financial Directorate …