Act No. 223 / 2006 Coll.
Act amending Act No. 593 / 1992 Coll., on provisions for determining the income tax base, as amended, and certain related laws
Valid
Effective from 01.06.2006
223
THE LAW
of 25 April 2006
amending Act No 593 / 1992 Coll., on provisions for determining the income tax base, as amended, and certain related laws
Parliament has decided on this law of the Czech Republic:
Amendment to the Reserve Act
In Act No. 593 / 1992 Coll., on provisions for the determination of the income tax base, as amended by Act No. 157 / 1993 Coll., Act No. 323 / 1993 Coll., Act No. 244 / 1994 Coll., Act No. 132 / 1995 Coll., Act No. 211 / 1997 Coll., Act No. 176 / 2003 Coll., Act No. 438 / 2003 Coll., Act No. 669 / 2004 Coll., Act No. 377 / 2005 Coll. and Act No. 545 / 2005 Coll., § 10a including the footnotes No 24 to 27 reads:
(1) The funds in the amount of the reserves referred to in Articles 9 and 10 (1) or the reserves defined in Article 10 (2) shall also be deposited in a separate account in a bank located in the territory of the Czech Republic or, in the case of reserves defined in Article 10 (2), with the agreement of the relevant district mining office, the competent regional office or the management of radioactive waste storage facilities, also in a separate account in a bank located in the territory of another Member State of the European Union, which is intended exclusively for the deposit of reserves constituted in accordance with Articles 9 and 10 (1) or the provisions defined in Section 10 (2) of the income from the sale of State bonds issued by the funds of that reserve 24 (hereinafter "special account"). For the purposes of this provision, income from funds linked to a special deposit account and interest income on government bonds purchased from special deposit funds shall be taken as income from the special guarantee account. The funds of a special linked account may be used only for the purposes for which the reserves have been created, with the exception referred to in paragraph 4. The taxpayer will always set up only one special account for each purpose of creating the reserve, which is held in Czech crowns or in euro.
(2) In the tax period or in the period for which the return is made, the recognised creation of reserves as defined in paragraph 1 shall be the expenditure (cost) to achieve, secure and maintain revenue, provided that:
(a) cash equivalent to the amount of the recognised reserve formation shall be transferred to a special account bound by the deadline for filing the tax return at the latest; if they are not transferred in full, the expenditure (costs) to achieve, secure and maintain income shall only become that part of the recognised reserve formation that has been transferred to the special tied account at the latest by the tax return date; and
(b) the funds deposited in a special account shall not be used to cover expenditure related to the purposes for which the reserves referred to in Articles 9 and 10 (1) or the reserves defined in Article 10 (2) have been created, up to the amount of the reserves created before 31 December 2003 or until the end of the period for which the return is made and which began in 2003, unless those reserves have subsequently been completely cancelled or exhausted; if those reserves have subsequently been cancelled or drawn only partially, that condition shall apply only to the uncancelled part of the said reserves. This condition shall not apply where a special law expressly provides for an obligation to transfer funds to a special tied account equal to the provisions previously created or to their specific legislation of the defined part which have been used as expenditure (cost) to achieve, secure and maintain revenue by 31 December 2003.
(3) Where a payer uses funds deposited in a special account in contravention of the condition set out in paragraph 2 (b), he shall be entitled to apply the recognised creation of provisions as defined in paragraph 1 as an expense to achieve, secure and maintain the income referred to in paragraph 2 at the earliest in the tax period or in the period for which the tax return is made, in which the sum of the funds deposited in the special account referred to in paragraph 1 and the value of the government bonds held in a separate account with the Czech National Bank, the Securities Centre or the Central Depository, to which the Czech Republic, acting through the Ministry of Finance, shall transfer the Central Bank's records (hereinafter referred to as "the Central Depository ') 1b), shall achieve at least the amount of the reserves referred to in § 9 and § 10 (1) or the provisions defined in § 10 (2).
(4) The funds of the reserves referred to in paragraph 1 which are deposited in a special binding account may also be used for the acquisition of government bonds denominated exclusively in the Czech koruna, namely:
(a) provisions for the remediation of the land affected by mining and mine-management provisions (15) only on the basis of the agreement of the relevant district mining authority;
(b) provisions for the reclamation and remediation of landfills (25) only subject to the agreement of the competent regional authority;
(c) provisions to ensure the decommissioning of a nuclear installation or a Category III or Category IV site (26) only subject to the consent of the Radioactive Waste Storage Administration.
(5) The government bonds referred to in paragraph 4 shall be held in a separate account with the Czech National Bank, the Securities Centre or the CSD and the taxpayer shall keep separate records of them. The proceeds from the sale of such bonds must always be transferred without delay to the special tied account from which they were acquired.
(6) The funds deposited in a special binding account and sovereign debt held in a separate account as referred to in paragraph 5 shall not be the subject of collateral; they shall not be included in the bankruptcy substance (23); they shall not be subject to enforcement (27) or execution (27).
24) Paragraph 19 (1) (l) of Act No. 586 / 1992 Coll., on Income Tax, as amended by Act No. 223 / 2006 Coll.
25) Act No. 185 / 2001 Coll., on waste and amending some other laws, as amended.
26) Article 18 of Act No. 18 / 1997 Coll., on the Peaceful Use of Nuclear Energy and Ionizing Radiation (Atomic Act) and on the amendment and addition of certain laws, as amended.
27) Act No. 337 / 1992 Coll., on the Administration of Taxes and Fees, as amended. Act No. 500 / 2004 Coll., Administrative Regulation. Act No. 26 / 2000 Coll., on public auctions, as amended. Act No. 120 / 2001 Coll., on Judicial Executives and Enforcement Activities (Enforcement Order) and on the amendment of other laws, as amended. Act No. 99 / 1963 Coll., Civil Code, as amended. '
Transitional provision
1. If, by the date of the entry into force of this Act, the taxpayer has established a special binding account in accordance with the provisions of Section 10a of Act No. 593 / 1992 Coll., as effective by the date of entry into force of this Act, in a bank with its registered office
(a) outside the territory of a Member State of the European Union, transfer the balance of that account no later than six months after the date of entry into force of this Act to the account established in accordance with § 10a of Act No. 593 / 1992 Coll., as effective from the date of entry into force of this Act,
(b) in the territory of a Member State of the European Union and does not obtain consent from the competent district mining office, the competent regional authority or the radioactive waste repository administration to continue the management of that account, it shall transfer the balance of that account by the date of filing the tax return for the tax period started in 2006 in favour of the account established in accordance with Section 10a of Act No. 593 / 1992 Coll., as effective from the date of entry into force of this Act.
2. If, by the date of entry into force of this Act, the taxpayer has established, pursuant to the provisions of Section 10a of Act No. 593 / 1992 Coll., as effective by the date of entry into force of this Act, more special binding accounts for a single reserve account shall be transferred within six months of the date of entry into force of this Act to a single account established in accordance with Section 10a of Act No. 593 / 1992 Coll., as effective from the date of entry into force of this Act.
3. Paragraph 10a of Act No. 593 / 1992 Coll., as effective from the date of entry into force of the Act, shall apply for the first time for the tax period beginning in 2006.
Amendment of the Income Tax Act
Act No. 100 / 2000, Act No. 100 / 2004, Act No. 100 / 2004, Act No. 100 / 2004, Act No. 100 / 2004, Act No. 100 / 2004, Act No. 100 / 2004, Act No. 100 / 2004, Act No. 100 / 2004, Act No. 100 / 2004, Act No. 100 / 2004, Act No. 100 / 2004, Act No. 100 / 2004, Act No. 99 / 2004, Act No. 99 / 2004, Act No. 99 / 2004, Act No. 99 / 2004, Act No. 99 / 2004, Act No. 2004, Act No. 99 / 2004, Act No. 99 / 2004, Act No. 2004, Act No. 99 / 1999, Act No. 99 / 2004, Act No. 2000, Act No. 99 / 2004, Act No. 2004, Act No. 2000, Act No. 2004, Act No. 99 / 2004, Act No. 2004, Act No. 2000, Act No. 2000, Act No. 2004, Act No. 99 / 2004, Act No. 99, Act No. 2004, Act No. 2004, Act No. 2004, Act No. 2004, Act No. 2004, Act No. 2004, Act No. 2004, Act No. 2004, Act No. 2004, Act No. 2004, Act No. 2004, Act No. 2004, Act No. 2004, Act No. 2004, Act No. 2004, Act No.
1. in Paragraph 4 (1), the dot is replaced by a comma at the end of the point (zn) and the following point (zo) is added:
"(zo) proceeds from reserves deposited in a special account in a bank under special legislation 22a), if they become the income of a special account under special legislation 22a)."
2. In Article 19 (1) (l), "Article 15 (7) 'is replaced by" Article 15 (3)';
3. In Article 19 (1) (p), the words "bound account funds and from 'and the words" Article 18 (1) (h) and' are deleted.
4. in Paragraph 19 (1) (zl):
"(zl) income from reserves deposited in a special account in a bank in accordance with special legislation 22a) and income from government bonds purchased from special account funds in a bank under special law 22a) and held in a separate account with the Czech National Bank, the Securities Centre or a CSD to which the Czech Republic, acting through the Ministry of Finance, transfers the Central Bank's records (hereinafter referred to as" the CSD ") 71), where the income of a special account is made under special legislature22a), '.
5. In Paragraph 23d (3), in the last sentence, the word "previous' is replaced by the word" after '.
6. In Paragraph 36, the following paragraph 7 is added:
"(7) If the taxpayer referred to in Article 2 (2) is subject to interest income on government bonds issued from special bank account funds under special law 22a) and held in a separate account with the Czech National Bank, the Securities Centre or the CSD, the tax deducted on the total tax liability shall be charged. If the tax withheld or part of it cannot be counted against the total tax due because the taxpayer has incurred zero or declared a tax loss and or its total tax is lower than the tax deducted, the amount of tax that cannot be accounted for shall be overpaid 35e). The total tax liability shall not include, for the purposes of credit or overpayment, a tax on a separate taxable basis pursuant to Articles 8 (5) and 10 (8). '
EFFECTIVE
This Law shall take effect on the first day of the calendar month following the date of its publication, with the exception of point 2 of Article III of Part Two, which shall take effect on the day of its publication.
v. Kasal v. r.
Klaus v. r.
Paroubek v. r.
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Regulation Information
| Citation | Act No. 223 / 2006 Coll., amending Act No. 593 / 1992 Coll., on provisions for determining the income tax base, as amended, and certain related laws |
|---|---|
| Regulation Type | - |
| Author | - |
| Collection | Code of Laws |
| Date of Promulgation | 26.05.2006 |
|---|---|
| Effective from | 01.06.2006 |
| Effective until | - |
| Status | Valid |
The regulation text is for informational purposes only.
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