Czech Republic


Planned amendment of the VAT Act – new regulation for e-commerce

On 5 May 2021, the Chamber of Deputies held the second reading of the government bill known as the “e-commerce amendment” (document no. 867), which EU Member States must implement in their legislation with effect from 1 July 2021. Even though the process is not yet finished, we would like to inform you about the […]

Changes in Tangible and Intangible Assets for 2021

As we have already announced in our newsletter, the most important aspect of the tax package for companies is the changes related to assets. That is why this newsletter will focus solely on these changes. Although Amendment No. 609/2020 Sb. to the Income Tax Act (hereinafter the “Income Tax Act”), which introduced the changes, is […]

Doing Business in the EU after Brexit

As from December 31, 2020, the UK is separated from the EU. This has an impact on the tax and compliance position of EU based companies doing business in the UK and vice versa. Introduction While the mile-long lines of trucks have dissipated at ports, companies are waking up to less visible forms of friction […]

The 2021 Tax Package was Published in the Collection of Laws on New Year’s Eve

The closely watched and anticipated tax package for 2021 was finally published exactly on New Year’s Eve 2020, literally “at the eleventh hour”, in the Collection of Laws under No. 609/2020. The amendment (with a few exceptions) becomes effective on 1 January 2021 as declared. The question is, however, whether the Chamber of Deputies should […]

Deadlines for filing tax returns by individuals and legal entities according to the amendment to the Tax Code

In May of this year, we informed in our newsletter that the planned amendment to the Tax Code had surprisingly not yet been approved. The government then submitted an amended bill to the Chamber of Deputies, which went through the legislative process without major complications, and on 26 June 2020 the amendment to the Tax […]

First Tax Legislation Amendments Related to Coronavirus Epidemic Waiting for President’s Signature

In addition to what are called the liberation packages, the last of which again postpones the deadline by which individual and corporate tax payers need to file their 2019 tax returns without any sanctions until 18 August 2020, and the validity of which only required publication in the financial newsletter, there are also some changes […]

Tax Code Amendment Ultimately Not Adopted with Only Three Votes Short

We will have to wait a little bit longer because easier electronic communication with the Tax Office and management of our tax accounts is still to come. The Chamber of Deputies was only three votes short of adopting the amendment to the Tax Code. At the same time, however, the subtle extension of the deadline […]

Extraordinary tax measures in response to the spread of coronavirus in the Czech Republic II

Below is a list of the new series of measures relating to income taxes, VAT and real estate acquisition taxes which have already become available to all taxpayers, and of measures which will become effective as soon as the related Act is amended. 1. Already in effect: Prepayments on individual and corporate income tax due […]

Extraordinary tax measures in response to the spread of coronavirus in the Czech Republic and Slovakia

CZECH REPUBLIC In connection with the spread of coronavirus, the Minister of Finance of the Czech Republic has used the powers granted to her by in the Tax Code and has decided to waive penalties for late filings and related late tax payments and certain administrative fees. Detailed information on each of the measures can […]

The legislative process for tax in connection with the withdrawal of the United Kingdom of Great Britain and Northern Ireland from the European Union

Most of you are undoubtedly aware of the withdrawal of the United Kingdom of Great Britain and Northern Ireland from the European Union (“Brexit”). In the context of Brexit, countless questions have arisen about its tax implications. The text below summarizes the tax legislation changes that have been adopted in the Czech Republic in connection […]