Czech Republic: Changes in VAT from 2024; amendment to Real Estate Tax Act
The consolidation package came into effect and includes changes in VAT and amendments to the Real Estate Tax Act.
Changes in VAT from 2024; amendment to Real Estate Tax Act
The consolidation package came into effect on 1 January 2024. It includes an amendment to the value added tax (VAT) Act and introduces a significant amendment to the Real Estate Tax Act. Read TaxNewsFlash
Two major changes to VAT include:
- The consolidation of two reduced rates of 15% and 10% into one 12% rate (reclassification of some items between tax rates)
- The limitation of the right to deduct VAT on the purchase of luxury vehicles
Supplies of books and related services are also now exempt from VAT with a right to deduct VAT.
Read a January 2024 report
Real estate tax
After more than a decade, tax rates have increased by approximately 80%. Many partial changes intended to intensify the collection of this tax have also been approved. The deadline for filing real estate tax returns this year is 31 January 2024.
Read a January 2024 report
The KPMG name and logo are trademarks used under license by the independent member firms of the KPMG global organization. KPMG International Limited is a private English company limited by guarantee and does not provide services to clients. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 3712, 1801 K Street NW, Washington, DC 20006.