Liability System According to VAT Act

The provisions of the Value Added Tax Act No. 235/2004 Coll.(hereinafter referred to as the “VAT Act”) concerning the liability for VAT that the supplier failed to pay if the payment for the performed taxable supply is paid to the account of a supplier that is not published in the VAT taxpayer register came into effect on 1 April 2013.

Even though the amendment to the VAT Act has only been in force for a few weeks, the General Directorate of Finance of the Czech Republic (hereinafter referred to as the “GDF”) has already managed to issue quite a bit of information concerning
the expanded liability system. The deferral of the application of liability for payments to an unreleased account until 1October 2013 is one of the GDF’s important decisions.

In our opinion, the information the GDF has published until now does not, unfortunately, answer all the areas in dispute concerning everyday practice. And thus we have decided to point out these areas in this newsletter.

Below you can download new tax newsletter named Liability System According to VAT Act.