Act No. 102 / 1970 Coll.
Act on Amendments and Addition to Act No. 133 / 1969 Coll., laying down the principles for the laws of national councils on corporate taxes and social security contributions
Valid
Effective from 27.11.1970
102
THE LAW
of 17 November 1970
amending and supplementing Act No. 133 / 1969 Coll., laying down the principles for the laws of national councils on corporate taxes and social security contributions
The Federal Assembly of the Czechoslovak Socialist Republic decided on this law:
Act No. 133 / 1969 Coll., laying down the principles for the laws of national councils on corporate taxes and social security contributions, is amended as follows:
1. in Article 2 (1) (e), the words "or members" shall be inserted after the words "founders."
Article 2 (2) reads as follows:
"(2) All state economic organisations, foreign trade organisations, domestic public limited companies and organisations referred to in paragraph 1 (e) shall be liable to pay. '
3. In Article 2 (3), the words "unless otherwise specified in paragraph 2 'and the words" and state agricultural organisations with the exception of agricultural construction organisations' shall be deleted.
4. In Paragraph 3 (1), the following sentence is added: "In the event that the taxpayer does not make a profit, the basis of the profit tax shall be the amount of deductible items exceeding those deductible; if the taxpayer recognises a loss, the basis of that tax shall be the amount of deductible items, exceeding the sum of the loss and deductible items. ';
5. In Paragraph 3 (2), the words "(contribution to the air protection fund, road fund, etc.) 'are deleted.
6.
"3. catering expenditure, for foreign trade organisations only catering expenses and gifts above the limit approved by the Government of the Czechoslovak Socialist Republic;"
7. In § 4 (a) the entries are attached
"5. fines paid and periodic penalty payments;
6. the amounts charged to the refund for discharges of uncleaned or poorly cleaned waste water;
7. the fees charged, including the air pollution premium; ';
8. points (d) and (e) of Article 4 are added:
"(d) untaxed allocations to funds, shortening the production of profits and used for purposes for which the organisation's own funds may be used under legislation;
(e) loyalty allowances to miners above or above the specified heading (*), amounts spent on protective clothing, footwear and equipment above the standards of the prescribed regulations or of the specified heading (s) of workers and the value of benefits in kind above or above the regulations. '
9. Paragraph 5 (2) (c) reads as follows:
"(c) the fines and periodic penalty payments received and the amounts already taxed on a profit tax or similar tax on another taxpayer and the items already taxed on the same taxpayer if they are part of a profit;"
10. in § 5 (2) (d), "and to the same amount of repayment of loans for corporate housing, drawn up until 31.12.1969."
11. in Article 5 (2), point (f) is added as follows:
"(f) remuneration for the Red Government and the Central Council of the Czech Republic or for the banners, or for the standards, of the equivalent, if they are included in the profit."
12.
Tax rate
The rate of profit tax is 65% of the tax base (Section 3), with the following derogations:
(a) 40% for organisations principally engaged in the production of building materials, in the production of structures or parts, and for food industry organisations (excluding organisations principally engaged in the manufacture of machinery or packaging);
(b) 50% for energy organisations involved in a single electricity system whose main activity is the generation or distribution of electricity or heat (excluding plant power plants);
(c) 60% for mining organisations whose main activity is the extraction or modification of solid fuels, or ores or the searching and extraction of nutrients, and for gas organisations principally engaged in the production, distribution or storage of heating gases;
(d) 85% for those cash institutions which are public limited liability companies and have a general reserve fund set up at the level specified by the statutes. "
13. in Article 9 (1) (b), the words "business funds" are replaced by the words "other organisational funds."
14. Article 9 (1) (c) shall be supplemented by the words "and the state of provisions not complying with the legislation."
15.
Tax rate
The rate of capital tax shall be 5% of the tax base; the rate shall be 2% for regional organisations, Czechoslovak seagoing, Brno fairs and exhibitions, and for organisations referred to in Article 6 (b) and (c). '
16.
"The average state of assets in the tax year is decisive for determining the tax liability."
17. The following sentence is added to Paragraph 13: "The remuneration to be paid to the best workers and collectibles of the amount received by the organisation as remuneration to the Red Battalion of the Government and the Central Council of the Czech Republic shall not be included in the taxable base. ROH or to the battalion, or to the standard of the like."
18. In Paragraph 14 (2), the words "wages paid to apprentices' are replaced by the words" the wage charged for the productive work of apprentices'.
19. In Section 15, the following sentence is inserted after the first sentence: "The remuneration to be paid under the second sentence of Section 13 (paragraph 17) shall not be included in the basis for calculating the social security contribution. Social security contributions include sickness insurance *). '
20. Paragraph 19 of the following paragraphs 4 and 5 are added:
"(4) The contributions made pursuant to Act No. 83 / 1966 Coll., on the fourth Five-Year Plan for the Development of the National Economy of the Czechoslovak Socialist Republic, and Act No. 131 / 1968 Coll., on the income and salary increases, the obligation of which arose after 1 January 1971, cannot be enforced after three years from the end of the calendar year in which the payment was made.
(5) If the recovery operation referred to in paragraph 4 is carried out, the provisions of paragraph 3 shall apply mutatis mutandis. ';
21. in § 20 (f):
"(f) in cases justified by specific conditions and economic efficiency, authorise the payment of corporate taxes by the Directorate-General or by a similar economic management body for the production unit as a whole, or allow, as an experiment, to tax the profits and, where appropriate, the assets of the production unit as a whole, and that the capital tax for the whole production unit may be the branch (general) Directorate-General or similar economic management body; Where such bodies have economic management of subordinate organisations in both Republics, agreements shall be required between the competent authorities of both Republics; ';
22. in § 20 the following text shall be added:
'( ch) lay down the conditions under which no surpluses for the refund for discharges of uncleaned or poorly cleaned waste water, as well as charges and surcharges for air pollution shall be added to the profit for the purposes of calculating the profit tax;
(i) authorise, in the food industry sector, capital tax rebates up to the amount of this tax on that part of the value of stocks of selected product types covered by the turnover fund; the types of such products shall be determined by the Ministry of Finance in agreement with the Ministry of Agriculture and Nutrition. ';
23. in paragraphs 20 and 21, the words "except for taxpayers governed by federal authorities" shall be inserted after the words "the Republic."
24th Paragraph 21 (b) reads:
"decide, in the cases at issue, on the method of taxation; for organisations within the competence of federal authorities, the Ministry of Finance of the Czechoslovak Socialist Republic may decide; ';
25.
"The Government of the Czechoslovak Socialist Republic and the Ministry of Finance of the CSSR may authorise exemptions, advantages and discounts for taxpayers under the jurisdiction of the federal authorities under Section 20, as well as the Ministry of Finance of the CSSR under Section 21 (c), in an agreement with the Federal Ministry of Labour and Social Affairs. '
(1) The date on which the laws of the national councils on changes and additions to the laws on corporate taxes and social security contributions, issued in accordance with the principles of this Act, become effective, in Act No. 131 / 1968 Coll., on income and wage increases,
(a) delete from Paragraph 2 (1) the words "additional contributions for the necessary reallocation of funds,"
(b) Article 2 (2) shall be deleted.
(2) This Act shall take effect on the day of its publication.
Freedom v. r.
Dr. Hanes v. r.
Dr Strougal v. r.
*) Act No. 177 / 1968 Coll., on the loyalty of miners.
*) § 57 of Act No. 54 / 1956 Coll., on the sickness insurance of employees.
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Regulation Information
| Citation | Act No. 102 / 1970 Coll., amending and supplementing Act No. 133 / 1969 Coll., laying down the principles for the laws of national councils on corporate taxes and social security contributions |
|---|---|
| Regulation Type | - |
| Author | - |
| Collection | Code of Laws |
| Date of Promulgation | 27.11.1970 |
|---|---|
| Effective from | 27.11.1970 |
| Effective until | - |
| Status | Valid |
The regulation text is for informational purposes only.
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