Tax Newsletter - Archive
Forvis Mazars Tax View - archive of tax articles
The Supreme Administrative Court (SAC) ruling on the deadline for filing a supplementary tax return for a lower tax
Recently, the so-called extended panel of judges of the SAC ruled on the correct application of the deadline for filing a supplementary tax return for a lower tax. This new decision finally brought clarity to the uncertainty that accompanied the filing of supplementary tax returns for a lower tax in many cases.
The tax reliefs for mineralogical and metallurgical processes from the perspective of excise and energy taxes will be abolished
As of January 2024, the excise duty refund on mineral oils consumed in mineralogical and metallurgical processes will be completely abolished. At the same time, the exemption of gas, electricity and solid fuels from energy tax due their usage in these processes will be abolished. All changes are part of the so-called consolidation package. In some cases, the tax advantage will be maintained, at least partially, through another tax institute.
Amendment to the Accounting Act - functional currency
The Bill amending certain laws in relation to the consolidation of public budgets (the so-called consolidation package) was approved by the Senate on 8 November 2023 and signed by the President on 22 November 2023. This consolidation package includes an amendment to the Accounting Act, which allows accounting entities to set an accounting currency different from the Czech koruna, the so-called functional currency, effective 1 January 2024.
What changes does the consolidation package bring from VAT perspective?
The amendment to the law, referred to as the consolidation package (print no. 488), was approved by the Parliament of the Czech Republic in November 2023 and subsequently also signed by the president. It is now certain that there will be several changes in VAT with effect from 1 January 2024. Below is an overview of the most important ones.
Summary of Changes in the Consolidation Package related to Personal and Corporate Income Tax
The proposal of a law amending certain laws in connection with the consolidation of public budgets (the so-called consolidation package) was approved by the Senate on 8 November 2023, and signed by the President on 22 November 2023. We bring you a summary of the proposed changes related to personal and corporate income tax. The changes will generally be effective from 1 January 2024.
Deferred maturity of liabilities – abuse of law
In July 2023, the Supreme Administrative Court issued another of its decisions concerning the application of the concept of abuse of law by a tax administrator, and in this case as well, it sided with the tax administrator.
New rules set to combat VAT fraud - records of cross-border payments
An amendment to the Value Added Tax Act (hereafter the ‘Amendment’) is being discussed in the Chamber of Deputies which in connection with the related EU legislation introduces a new record-keeping and reporting obligations for payment service providers (hereinafter ’PSPs’). From 1 January 2024, PSPs will be required to keep records on cross-border payments and their recipients and provide them to the tax authorities.
CBAM: New obligation for importers
The European Commission has decided to face and fight with the climate changes by implementing the new system: the Carbon Border Adjustment Mechanism (hereinafter as ‘CBAM’) in order to reduce the risks of the carbon leakage. What does it mean and who will be affected?
Amendment to the Act on the Stay of Foreigners and related legislation
On July 1, 2023, Act No. 173/2023 Coll. entered into force, which significantly amends Act No. 326/1999 Coll., on the stay of foreigners, and related laws (among them, the amendment to Act No. 435/2004 Coll., on employment, is particularly significant.). The subject of this amendment to the Act on the Stay of Foreigners and related legislation is mainly the transposition of the EU directive on the so-called blue card (Directive No. 2021/1883/EU) into Czech legislation. The aforementioned directive significantly simplifies the conditions for obtaining blue cards and the residence of their holders in EU member states. You can find an overview of the changes that the amended regulation brings below.
Amendment to the Labour Code: changes in the Area of Home Office
The amendment to the Labour Code No. 262/2006 Coll. (the “Amendment”), which incorporates some of the recommendations contained in EU directives, was signed by President Petr Pavel on 17 September 2023. Since the autumn of the previous year, when the proposal was first published, it has undergone significant changes, including in the area of rules for remote work, commonly known as home office. We present to you the most important points in this area.