Act No. 253 / 2000 Coll.
Act on International Tax Administration Assistance and Amendment to Act No. 531 / 1990 Coll., on Territorial Financial Authorities, as amended
Valid
Law
Effective from 11.08.2000
253
THE LAW
of 11 July 2000
on international tax administration assistance and amending Act No. 531 / 1990 Coll., on Territorial Financial Authorities, as amended
Parliament has decided on this law of the Czech Republic:
INTERNATIONAL AID FOR TAX MANAGEMENT
Subject matter
(1) This law regulates the procedure and conditions under which the authorities of the Czech Republic provide, demand or accept international assistance in their administration in order to ensure correct measurement and payment of taxes, 1)
(a) on the basis of an international agreement which is part of the legal order, in relation to the State which is a party to that international agreement;
(b) in accordance with the law of the European Communities (1a) in relation to the Member States of the European Union.
(2) This law does not apply to international assistance in the recovery of certain cash claims under a special legislature.2)
Scope
(1) International assistance provided under this Act concerns:
(a) direct taxes, in the Czech Republic taxes on income, real estate taxes, inheritance taxes, donation taxes and property transfer taxes, in other States of the same or similar taxes, which have the character of income tax or property tax;
(b) taxes on insurance premiums.
(2) Taxes on insurance premiums are taxes which take one of the forms referred to in the European Communities rules. (2a)
Jurisdiction of tax authorities
(1) On behalf of the Czech Republic, the Ministry of Finance and, where appropriate, the trustee responsible for the tax (3) (hereinafter referred to as "the competent authority") shall act in matters provided for by this Act. The Ministry of Finance may not entrust another tax administrator to carry out the operations under § 7 (1), § 10 (2) and § 11.
(2) Where the requested international assistance relates to insurance tax, the tax administrator responsible shall be the person responsible for managing the income tax.
(3) The competent authority shall, when providing assistance to the competent authority of the State referred to in § 1 (1) (a) and (b) (hereinafter referred to as the competent authority of the Contracting State), proceed as if it were cooperation with the authorities of the Czech Republic, applying the procedure under the special legislation governing the administration of taxes and duties4).
Exchange of information on requests
(1) The competent authority shall provide information on individual cases relating to taxes as referred to in Paragraph 2 (1) (hereinafter referred to as "information ') for a request from the competent authority of the Contracting State.
(2) The competent authority may also request information from the competent authority of the Contracting State if it has exhausted its normal sources of data which it may have used in the case in question without jeopardising the achievement of the desired result.
(3) From the date of dispatch of the application pursuant to paragraph 2 until the date of receipt of the reply to the request from the competent authority of the Contracting State, the time limit for determining the tax under the tax rules shall not run.
Regular exchange of information
The competent authority for groups of individual cases may negotiate, orally or in writing, with the competent authority of the Contracting State in accordance with the procedure laid down in Article 11 (1), the type and extent of information which it will provide or receive without prior request, while maintaining reciprocity, including the manner and time limits for the transmission of such information.
Provision of own-initiative information
(1) The competent authority shall provide the information known to it without prior notification to the competent authority of the Contracting State where:
(a) it may reasonably be assumed that the tax has been reduced or may have been reduced in that Contracting State;
(b) the tax entity achieves a tax reduction or other tax relief in the Czech Republic and it can be assumed that such tax reduction or other tax relief has led or could result in or increase in the tax liability in that Contracting State;
(c) business relations between a tax entity taxed in the Czech Republic and between a tax entity taxed in that Contracting State are carried out in one or more countries in such a way that it can be assumed that it has led or could result in a reduction in the tax liability in the Czech Republic or in that Contracting State, or both,
(d) it can reasonably be assumed that the tax liability may be reduced by artificial transfers of profits in business groups, 5); or
(e) the information provided by that Contracting State has made it possible to ascertain or to draw attention to information which has led to the formation or increase of tax in that Contracting State.
(2) The competent authority may negotiate, orally or in writing, with the competent authority of the Contracting State in accordance with the procedure laid down in Article 11 (1), additional headings of information which they shall provide to each other spontaneously.
Direct cooperation of tax administrations
(1) For the purposes of providing the information referred to in paragraphs 4 to 6, the competent authority may, in accordance with the procedure laid down in paragraphs 1 or 2 of Article 11, authorise the presence of a tax administration worker of a Contracting State with and synergies with the competent authority to the extent defined by the authorisation.
(2) The staff of the tax administration of the Contracting State shall, to the extent specified in the authorisation referred to in paragraph 1, have the status of staff of the competent authority.
(3) The competent authority may require the competent authority of the Contracting State to authorise the cooperation of the staff of the competent authority with the tax administration of the Contracting State.
Management of information
(1) Information communicated to the competent authority by the competent authority of the Contracting State shall be subject to the obligation of confidentiality laid down in a separate legislation, (6) subject to other conditions laid down by that law.
(2) Information from the competent authority of the Contracting State may be made available only to personnel of the competent authority who are directly involved in the administration of the tax to which the information provided relates.
(3) Information from the competent authority of a Contracting State provided by the competent authority for judicial review of a tax decision or law enforcement authorities may not be provided to other authorities or persons who are not directly involved in such proceedings. Persons involved in proceedings to which the information provided has been made available shall be obliged to maintain confidentiality to the extent provided for in specific legislation.6) The information provided may be published during the hearing or at the time of the publication of the decision only on condition that the competent authority of the Contracting State which provided the information did not raise objections at the time of their first transmission.
(4) The competent authority may provide information obtained from the competent authority of the Contracting State for the determination of:
(a) refunds, financial support6a) and other measures which form part of the partial or total financing of the European Agricultural Guidance and Guarantee Fund, including the amounts to be collected in connection with these activities;
(b) the levies and other charges provided for within the European Communities in the organisation of the common market in sugar;
(c) import duties,
(d) export duties,
(e) direct and indirect taxes;
(f) taxes on insurance premiums;
(g) interest, fines, periodic penalty payments and the costs related to the claims referred to in points (a) to (f), as well as similar taxes which supplement or replace the taxes referred to in point (f).
(5) Where the competent authority considers that the information received from the competent authority of a Contracting State is likely to be useful for another Contracting State, it may transmit that information to it only with the agreement of the competent authority of the Contracting State which provided that information.
(6) The competent authority may authorise the use of the information provided in the requesting Contracting State for other purposes only to the extent that such information may be used under specific legislation. 6)
Time limits for submission of information
(1) The competent authority shall forward the information requested to the competent authority of the Contracting State without undue delay.
(2) Where there are obstacles to the provision of the requested information, or where the provision of that information is refused, the competent authority shall inform the requesting competent authority of that situation, stating the reasons for the obstacles or reasons for refusal without delay.
Restrictions on the provision of information
(1) Information or information to the competent authority of the Contracting State may be found or provided only to the extent permitted by the legislation of the Czech Republic in determining such requirements and their collection or use for tax management purposes.
(2) The competent authority shall be entitled to refuse to provide information to the competent authority of the Contracting State where such or special law 4) contains stricter conditions of the obligation to remain silent than those contained in the legislation of the requesting Contracting State and where that State does not comply with these stricter conditions.
(3) The request referred to in Article 4 (1) may not be granted unless the requesting Contracting State has exhausted its normal sources of information which could have been used to obtain the requested information without the risk of jeopardising the desired result, given the circumstances.
(4) The provision of information may be refused even if it would lead to the disclosure of commercial secrecy, (7) a breach of confidentiality imposed by special legislation8) or if it would be information the disclosure of which would be contrary to the interest of the Czech Republic (9) and public policy.
(5) The provision of information may also be refused if the requesting Contracting State is unable to provide similar information for practical or legal reasons.
Service
(1) At the request of the competent authority of the Contracting State, the competent authority shall notify the decision or other documents relating to the taxes referred to in Paragraph 2 to the addressee. The competent authority may also require the service of similar documents to the addressee from the competent authority of the Contracting State.
(2) The application for notification shall contain the indication of the case to which the documents to be served, the name, surname and address of the natural person or the name and address of the legal person to whom they are addressed, and any other information needed to identify the addressee.
(3) The competent authority shall immediately inform the competent authority of the Contracting State that it has received its request for notification and, upon receipt of the documents to the addressee, the date of their receipt.
Concomitant control
(1) For the purpose of exchanging the information obtained, the competent authority shall be entitled to carry out at the same time tax checks on tax entities whose tax obligations are a common or complementary interest of the Czech Republic and the Contracting States (hereinafter referred to as "parallel control '), in cooperation with the competent authorities of the Contracting States.
(2) The competent authority shall seek tax bodies for which it considers it appropriate and appropriate to carry out a simultaneous check and shall propose its implementation to the competent authorities of the Contracting States; the proposal shall provide the information which led it to this Decision and indicate the period during which the parallel check should be carried out.
(3) Upon receipt of an application for a parallel check from the competent authority of a Contracting State, the competent authority shall notify that authority of its agreement to carry it out or its refusal, stating the reasons for the refusal.
(4) The competent authority shall designate a representative responsible for its management and cooperation with the competent authority of the Contracting State to carry out a simultaneous check.
Negotiation of cooperation
(1) The competent authority may, within the scope of this Act, discuss further conditions and sub-procedures for international tax management assistance with the competent authority of the Contracting State at bilateral or multilateral negotiations, as appropriate. Negotiations shall be held whenever requested by the competent authority of the Contracting State.
(2) Multilateral negotiations referred to in paragraph 1 may take place with the participation of the Commission of the European Communities and shall take place whenever the Commission of the European Communities so requests.
(3) In accordance with the procedure referred to in paragraph 1 or 2, the competent authority may, orally or in writing, negotiate with the competent authority of the Contracting State the direct cooperation of tax authorities with the tax authorities of that Member State for certain individual cases or groups of individual cases.
(4) If the examination referred to in paragraph 1 leads to a bilateral agreement with the competent authority of another Member State of the European Union which does not concern the resolution of individual cases, the competent authority shall inform the Commission of the European Communities as soon as possible.
(5) The provisions of paragraphs 2 and 4 shall apply only in respect of the Member States of the European Union.
(6) The Ministry of Finance shall inform the European Commission and the competent authorities of the other Member States of the European Union that it is the authority empowered to request and provide international assistance under this Act and shall notify them of the introduction or replacement of the taxes referred to in Paragraph 2 (1).
The provisions of this Act shall not apply unless otherwise specified.
(a) an international agreement forming part of the legal order; or
(b) specific legislation. 10)
EFFECTIVE
This Act shall take effect on the date of its publication, with the exception of the provisions of Sections 1 (1) (b) and 11 (2) and (4), which shall take effect on the date of entry into force of the Treaty of Accession of the Czech Republic to the European Union.
Klaus v. r.
Havel v. r.
v Rychetský v. r.
1) Paragraph 1 (2) of Act No. 337 / 1992 Coll., on the Administration of Taxes and Fees, as amended by Act No. 255 / 1994 Coll.
(1a) Council Directive 77 / 799 / EEC of 19 December 1977 concerning mutual assistance between the competent authorities of the Member States in the field of direct taxation, as amended by Council Directive 79 / 1070 / EEC, Council Directive 92 / 12 / EEC, Council Directive 2003 / 93 / EC, Council Directive 2004 / 56 / EC and Council Directive 2004 / 106 / EC.
2) Act No. 252 / 2000 Coll., on International Assistance in the Recovery of Certain Financial Claims.
(2a) Article 3 of Council Directive 76 / 308 / EEC of 15 March 1976 on mutual assistance in the recovery of claims arising from operations forming part of the system of financing of the European Agricultural Guidance and Guarantee Fund, agricultural levies and duties, as amended by Council Directive 79 / 1071 / EEC of 6 December 1979, Council Directive 92 / 12 / EEC of 25 February 1992 and Council Directive 2001 / 44 / EC of 15 June 2001.
3) Article 1 of Act No. 337 / 1992 Coll., as amended.
4) Act No. 337 / 1992 Coll., on the Administration of Taxes and Fees, as amended.
5) Article 66a of the Commercial Code.
6) Article 24 of Act No. 337 / 1992 Coll., as amended.
6a) Act No. 256 / 2000 Coll., on the State Agricultural Intervention Fund and amending certain other laws (Act on the State Agricultural Intervention Fund), as amended by Act No. 128 / 2003 Coll., Act No. 41 / 2004 Coll. and Act No. 85 / 2004 Coll.
7) Sections 17 to 20 of the Commercial Code.
8) For example, Act No. 85 / 1996 Coll., on Advocacy, as amended by Act No. 210 / 1999 Coll.
9) Act No. 148 / 1998 Coll., on the protection of classified information and on the amendment of certain laws, as amended.
10) Act No. 586 / 1992 Coll., on Income Tax, as amended.
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Regulation Information
| Citation | Act No. 253 / 2000 Coll., on International Tax Administration Assistance and Amendment to Act No. 531 / 1990 Coll., on Territorial Financial Authorities, as amended |
|---|---|
| Regulation Type | Law |
| Author | - |
| Collection | Code of Laws |
| Date of Promulgation | 11.08.2000 |
|---|---|
| Effective from | 11.08.2000 |
| Effective until | - |
| Status | Valid |
The regulation text is for informational purposes only.
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