16th September 2013

Senate: public benefits refused

On 12 September, the Senate refused the governmental Bill on Public Benefits Status (zákon o statusu veřejné prospěšnosti). The Bill regulates the process of status granting (duties and appropriates that a corporation must be characterized in order to obtain the status; i.e. transparent internal structure). The Bill also states advantages that may stem from the status for the corporation (tax reliefs).

Senators criticized the proposed model of the Bill; the status of public benefits is granted under consideration of a law court. The refusing senators suggested that it would heavily increased administrative burden under which the courts would lie. Further objection aims at the principle of the Bill that the status is considered in relation to the corporation instead of the relation to an (public beneficial) activity that the corporation conducts.

As the Bill cannot get back to the Chamber of Deputies, the Bill ceases to exist.

For further information, click here.

Members of the American Chamber of Commerce in the Czech Republic