The government approved tax mitigation measures related to the effects of government measures - UPDATE1
The Czech Ministry of Finance has expanded the scope of parties which are subject to the tax relief of 14 October 2020 that relates to the ban on certain operations due to the current epidemiological situation and the growing spread of coronavirus. We previously outlined these measures in greater detail HERE. Who does the tax relief benefit?
The government has once again tightened restrictions on the free movement of persons and the retail sale and provision of services
With respect to the deterioration of the current Covid-19 epidemiological situation, the Government of the Czech Republic has issued crisis measures tightening the current ban on the free movement of persons, with effect from 28 October 2020 from 00:00 to 3 November 2020 at 23:59 and the ban and restrictions retail sales and sales and provision of services from 28 October 2020 from 00:00 to 3 November 2020 23:59.
On 14 October 2020, the Government of the Czech Republic approved the extension of Category A of the Antivirus program until the end of 2020. With the extension of Category A, there is also an increase in support for employers whose operations have been forcibly restricted. The extension of Category B until the end of 2020 was also approved on 26 October 2020.
Restricted entry of foreigners to the Czech Republic in connection with restricted free movement of individuals
On 21 October 2020, the Czech Government adopted Resolution No. 1078, which introduced restrictions on free movement of individuals, with exceptions set out in the Resolution. As a result, arrival of foreigners in the Czech Republic was restricted and is subject to certain requirements outlined below.
In recent days, the Government of the Czech Republic has decided on individual programs to support businesses and other entities as a result of the coronavirus epidemic. Below is a brief overview of the individual programs, which were announced mainly on 14 October 2020, 16 October 2020 and 19 October 2020. The government has not yet published the specific conditions of the Antivirus program, the Caregiver’s Program for the “self-employed” and the conditions of the compensatory bonus.
In response to the growing spread of coronavirus, the Czech government approved a proposal to renew the compensation bonus for self-employed individuals, shareholders of small limited liability companies, and individuals who work under non-employment agreements in business sectors that have been directly affected by the government bans under the emergency measures. Moreover, the government approved that the electronic records of sales (EET) will be postponed until 1 January 2023.
The government has approved some tax mitigation measures related to the effects of government measures
In connection with the ban on certain activities due to the current epidemiological situation and the growing spread of coronavirus, the Ministry of Finance has issued several measures in the area of taxation, which it describes as a large liberation tax package. In fact, the scope of these mitigation measures is very small, both in terms of the tax obligations it is intended to relieve and the range of persons concerned.