Blog

Dear readers,

Please find our short news for March 2023 below:

• The General Financial Directorate issued a new opinion on applying VAT on the lease of a grave site; operation of a public graveyard by a municipality is no longer considered public policy remit.
  
  

• The Financial Administration issued a set of questions and answers concerning the application of windfall tax. In addition, the General Financial Directorate issued a table with a classification of selected activities under CZ-NACE for the purposes of windfall tax (you can find the table here).
  
  
• As the deadline for the filing of individual income tax returns is near, the General Financial Directorate issued a summary of changes for 2022, drawing attention to the most frequent mistakes that taxpayers make in filing their tax returns.
  
  
• The General Financial Directorate issued information about tax liability of accommodation service providers.
  
  
• The Government published an update of their Programme Statement. Unlike the original Statement, the new one no longer includes a plan to develop a tax break policy, a promise to shorten the depreciation period for rental housing, and a plan to reduce social security contributions on the employers’ part. The new Statement now contains a promise to implement Pillar II of global taxation.
  
  
• Based on Regulation No. 85/2023 Coll. dated 28 March 2023, average prices of fuels for electricity for the purposes of travel allowances for 2023 were increased from the current CZK 6.00 to CZK 8.20 effective from 1 April 2023 (Regulation No. 467/2022 Coll.).
  
  
• The General Financial Directorate issued an anticipated appearance of forms related to windfall; final versions thereof will be available on the Financial Administration’s website once the legislative process is completed. 
   
• The Ministry of Finance issued the following Financial Bulletins:

o   4/2023 – A list of contracting states that apply a joint notification standard, and a list of effective dates published pursuant to Section 13b (2), Section 13e (7), Section 13g (5), and Section 13p (2), and a list for the purpose of discharging the duty to inform pursuant to Section 13s (1) of Act No. 164/2013 Coll., on International Cooperation in Administering Taxes, and on Amendment to Other Related Laws, as subsequently amended (the “List of Contracting States”).

o   5/2023:

• §  A schedule of types of taxes and portions thereof, on which personal tax accounts are maintained by bodies of the Custom Administration of the Czech Republic pursuant to Section 149 (3) of Act No. 280/2009 Coll., the Tax Code, as amended.
• §  A list of register parts of custom offices’ bank accounts.

o   6/2023 – A statement on the Agreement between the Government of the Czech Republic and the Government of Rumania to Prevent Double Taxation and Tax Evasions in the Area of Income Taxes and Property Taxes to follow upon the Multilateral Treaty on Implementing Measures to Fight Decreases in the Tax Base and Shifts of Income in Relation to Tax Agreements.

Michaela Kozminská                                       Lenka Kolmanová
kozminska@edmutilitas.cz                              kolmanova@edmutilitas.cz