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Dear Readers,

We are bringing short news for April 2024:

• The Financial Administration published the following information on their website:
  • The Czech Republic interrupted implementing selected articles of a Double Taxation Treaty entered into between the governments of the Czech Republic and the Russian Federation effective as of 29 September 2023, specifically Articles 5-22 and 24. The General Financial Directorate comments on implications thereof in the Information on Interrupted Implementation of Selected Articles of the Double Taxation Treaty with the Russian Federation published on 30 April 2024 here.
  • The Financial Administration started sending out data for the payment of tax on immovable property for 2024. Please be advised that rates of this tax increased by the average of 80% effective since 1 January 2024. The deadline for the tax’s (or the first instalment’s) payment expires on 31 May 2024.
  • The deadline for the submission of the first data notification for Payment Service Providers (CESOP) expired on 30 April 2024. The notification for the 2Q should be filed by 31 July 2024.
• Draft amendment to the Act on Investment Companies and Investment Funds, Parliamentary Press No. 570, was approved by the Chamber of Deputies on 17 April 2024 and will be discussed in the Senate.
• An amendment to the Act on Primary Registers, which is to introduce an Information System of Representation Authorisations (“REZA”) was signed by the President on 29 April 2024 and will be published in the Collection of Laws. The amendment will come into force on 1 July 2024.
• Materials on Amendments to Act No. 563/1991 Coll., on Accounting, and Act No. 93/2009 Coll., on Auditors, which are planned to come into force on 1 January 2025, were published in the VeKLEP system on 26 April 2024. The amendment indicates that the effect of the accounting bill, which we informed you about in a separate article here, is a long way off. The draft amendment to the laws’ current texts published in April implements the following EU legislation:
  • Council Directive (EU) 2022/2523 of 14 December 2022 on ensuring a global minimum level of taxation for multinational enterprise groups and large-scale domestic groups in the Union;
  • Directive (EU) 2022/2464 of the European Parliament and of the Council of 14 December 2022; and
  • Commission Delegated Directive (EU) 2023/2775 of 17 October 2023.

The amendment regulates entity categorisation thresholds, thresholds for mandatory audit, essential elements of annual reports, and essential elements and duties related to the Sustainability Report.

• An amendment to the Act on Transformations of Corporations and Cooperatives, Parliamentary Press No. 459, which we informed you about here, was forwarded to the Senate on 30 April 2024 to be discussed in late May.
• An amendment to the VAT Act, which has been under preparation and is expected to come into force on 1 January 2025, moved to the next discussion phase. An updated material was published on 24 April 2024. Compared to the previous version, certain changes were made; we will inform you about those changes in a dedicated article.

Marek Švanda
svanda@clarksonhyde.cz