Czech Republic Government Consolidation Package: VAT Amendments and Restrictions on Car Deductions

• The Czech Republic government is discussing a consolidation package and VAT.
• Many amendments were submitted during the negotiations.
• One interesting amendment is the unification of the 12% VAT rate on newspapers and magazines.
• The 12% tax rate may also be applied to soft drinks, cut flowers, firewood, and medical devices/equipment.
• The consolidation package includes a ban on VAT deductions for purchasing passenger cars.
• The proposed amendment has shortcomings that do not respect the neutrality of VAT.

Source: dreport.cz

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

---

---