19th June 2012

Government passed amendments to the Act on VAT

At its session on 19 June, the Government passed an amendment to the Act on VAT (zákon o dani z přidané hodnoty) proposed by the Ministry of Finance. The proposal transposed an EU directive on the VAT that should come into force on 1 January, 2013. The proposal stipulates a new system of electronic tax declaration. The duty of the electronic tax declaration does not relate to natural person with turnover up to CZK 6 million. The proposal also stipulates the declaration of an unreliable tax payer, i.e. the payer that does not fulfill his/her duties regarding the levied taxes. A duty of tax payment may occur for any person who gets in commercial relations with an unreliable tax payer in case of breaching the tax duty.
The amendment is heading to the Chamber of Deputies. The Chamber may consider the Bill at its meeting in September; however, it has not set the precise term yet.

For further information regarding the Bill, click here (Governmental web library of proposed legislation).

Members of the American Chamber of Commerce in the Czech Republic