- New Czech VAT rule effective January 2025 requires repayment of VAT for unpaid invoices
- Applies to taxable supplies received from January 1, 2025
- VAT must be repaid if the invoice is unpaid within six months after the taxable supply month
- Repayment included in the VAT return for the period when the six-month deadline occurs
- Repayment amount equals the unpaid portion of the invoice
- Rule does not apply to reverse charge mechanism supplies
- First impact in July 2025 VAT return for supplies received in January 2025
- Exception if receivable from supplier is contractually or legally offset, no repayment needed up to offset amount
Source: pincvision.com
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.
