26.3.2012
News
Disputes
Tax

Supreme Administrative Court again rules in favour of Czech Radio in VAT dispute

At the beginning of March 2012 the Supreme Administrative Court in Brno satisfied a second cassation complaint lodged by Czech Radio. Claiming non-reviewability, the Supreme Administrative Court once again dismissed the Prague Municipal Court’s judgment whereunder Czech Radio was not allowed to exercise a claim to have VAT deducted on the grounds that it collects broadcasting fees. Czech Radio, represented by Kocián Šolc Balaštík, disagreed with the Municipal Court’s judgement.

The dispute between the national broadcaster and the Tax Authority Directorate for Prague has been pending for six years and will once again return to the Municipal Court, which is now tasked with deciding the case for a third time. Although the final ruling cannot be foreseen, the Supreme Administrative Court’s latest judgment emphasizes that the Municipal Court must thoroughly deal with objections which the Czech Radio raises to defend itself. So far, the Municipal Court has failed to do so in the case in question.

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