In the Czech Republic, VAT, locally known as “Daň z přidané hodnoty (DPH),” is an indirect tax on consumption. It is applied to the added value of goods and services at different stages of the supply chain.
The Czech Republic is part of the EU VAT system and the EU single market economy. The VAT framework in each EU member state is based on the VAT Directives issued by the EU, which override local laws. In the Czech Republic, VAT administration is managed by the Tax and Customs Authorities, with the Moravian-Silesian Tax Authority responsible for entities outside the Czech Republic.
Source GVC
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