The Ministry of Finance has prepared a digital service tax bill—one proposing a tax rate of 7% on selected digital services.
Entities that would be subject to the digital services tax would be companies included in corporate groups having a worldwide turnover of more than €750 million and generating an income of more than CZK 50 million from selected digital services in the Czech Republic.
There were discussions of plans for a digital services tax earlier in early May 2019, and at that time, a first draft of the legislation was expected by late May 2019. The Czech government in July 2019 started the formal legislative process to introduce a digital services tax.
Source KPMG
