2nd April 2014

Czech government decided to reintroduce “green diesel” reimbursement

On its meeting on 2nd April 2014 Czech government decided to reintroduce the benefit for farmers. So called “green diesel” means reimbursement of excise tax on mineral oils for farmers as they don’t use roads that much. The reimbursement was lowered from 60 % to 40 % by Nečas government in 2013 and it was cancelled at the end of 2013. Now it is going to stay at 40 % (58 % for diesel with bio-additive) and the law could come into force in July 2014. If the legislature is adopted it will mean expenditure of approx. 1.3 billion Czech crowns. According to PM Bohuslav Sobotka, most of the EU countries also have the reimbursement of excise tax on mineral oils with the exception of Austria, Bulgaria, the Netherlands, and Slovakia and Czech farmers would be in disadvantage in respect to other countries on European common market.

For more information click here, here and here.

Members of the American Chamber of Commerce in the Czech Republic