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.
On 12 October 2020, the Government of the Czech Republic announced new crisis measures, which tightened the ban on mass events, banned the public's presence in the interior of restaurants and catering establishments and restricted the operation of shopping centers. Among other things, the government restricted the functioning of schools (excluding kindergartens) and imposed work duties on students of selected universities and secondary schools. These crisis measures are generally effective from 14 October 2020 to 2 November 2020.
In connection with the deteriorating epidemiological situation of Covid-19, the Government of the Czech Republic issued a set of crisis measures, with effect from 12 October 2020 from 00:00 to 25 October 2020 23:59, concerning in particular the gathering of persons and restrictions and performance of certain business activities.
The Government of the Czech Republic declared a state of emergency on 30 September 2020 with effect from 5 October 2020. At the same time, it has already set specific restrictions. What are these restrictions? Is anyone restricted in their profession? Are general meetings allowed? And what are the sanctions? We have prepared a short overview for you.
On 19 May 2020, Act No. 247/2020 Coll., On certain measures to mitigate the effects of the coronavirus epidemic known as SARS CoV-2 on cultural events (the “Act”), entered into force. Not only for the field of tourism, but also for the field of culture, the possibility of the organizer to issue a voucher for a cultural event instead of refunding the entrance ticket fee was introduced.
The government has started to announce the dismantling of certain Covid19 measures and from Monday, April 27, 2020, it now allows business trips for foreigners to the Czech Republic, in respect of which business people were mounting pressure therefore. However, it set out a number of conditions and rules, which are further modified.
The original Government Crisis Measure No. 443 was repealed on 1 May 2020 and replaced by Government Crisis Measure No. 495. However, this crisis measure is valid only until 10 May 2020, as it will be replaced by Government Crisis Measure No. 511 with effect from 11 May 2020. This article takes into account measures effective until 10.5.2020, with the proviso that changes effective from 11.5.2020 are pointed out in italics.
At its meeting held on 28 April 2020, the Chamber of Deputies decided to extend the state of emergency until 17 May 2020.
The nature of crisis and emergency measures in the light of the expected decisions of the Constitutional Court
On 28 April 2020, the Constitutional Court issued two plenary resolutions rejecting a constitutional complaint against a government resolution on declaring a state of emergency, a government resolution on the adoption of a crisis measure and certain extraordinary measures with file no. stamp Pl. ÚS 8/20, and the proposal of a member of the Prague 4 city council directed against the government resolution on the adoption of a crisis measure (122/2020 Coll.), File No. Pl. ÚS 7/2020.
It might seem that in the time of the "coronavirus", everything revolves around face masks, disinfection or restriction of operation of various production facilities, and energy is talked about only in connection with the need to keep the elements of critical energy infrastructure running. However, this is not the case, as evidenced by yesterday's government meeting, after which the press conference mysteriously stated that the government "adopted a proposal to introduce measures to ensure the adequacy of support that meet the Czech Republic's commitments, as set out in European Commission decisions.” So what did the government actually adopt?