What is Full text of Act No. 27 / 1996 Coll.?

Full text of Act No. 27 / 1996 Coll., Act of the Czech National Council on Value Added Tax (full text as shown by later amendments and additions) — Act of the Czech National Council on Value Added Tax (full text as shown by later amendments and additions).

When it became Full text of Act No. 27 / 1996 Coll. effectiveness?

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Is Full text of Act No. 27 / 1996 Coll. still valid?

Yes, Full text of Act No. 27 / 1996 Coll. is still valid and effective.

Full text of Act No. 27 / 1996 Coll. - Act of the Czech National Council on Val...

27

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Announces

the full text of the Act of the Czech National Council of 24 November 1992 No. 588 Coll., on value added tax, as follows from amendments and additions made by the Act of 10 July 1993 No. 196 Coll., the Act of 2 December 1993 No. 321 Coll., the Act of 16 February 1994 No. 42 Coll., the Act of 3 June 1994 No. 136 Coll., the Act of 7 December 1994 No. 258 Coll. and the Act of 22 June 1995 No. 133 Coll.

THE LAW

Czech National Council

on value added tax

The Czech National Council decided on this law:

ČÁST PRVNÍ

GENERAL PROVISIONS

§ 1

Subject matter

This Act provides for value added tax (hereinafter referred to as "VAT ') which is subject to taxable domestic transactions, import goods and irregular international bus transport of persons carried out by a foreign operator in the country (hereinafter referred to as" occasional domestic bus transport').

§ 2

Definition of basic terms

(1) For the purposes of this Act, taxable transactions are:

(a) the supply of goods and the transfer of real estate, including the supply of building buildings and works, including in the form of a lease contract, with the subsequent purchase of a hired item in which ownership or management rights are changed, unless otherwise provided for in this law; the transfer of land is not considered to be taxable,

(b) the provision of services;

(c) the transfer or use of industrial or other intellectual property rights, the provision of the right of use of the case or of the property value, as well as the provision of technical or other economic knowledge (hereinafter referred to as the transfer and use of the rights);

1), even if it is an activity showing all the characteristics of the business, except that it is carried out by an entrepreneur.

(2) For entities not set up or set up for business purposes, transactions for which income from such transactions is subject to income tax shall be treated as taxable transactions. (1a) Such entities shall not be regarded as taxable transactions carried out in the context of the main activity and the membership contributions. (b) the purchase and sale of agricultural and food products are considered taxable transactions. In the case of State tangible reserves (1) (e), the purchase and sale of State tangible reserves shall be regarded as taxable transactions.

(3) The transfer of the property contribution in kind to a person who is not a payer, a settlement holding (1c) in kind and a share in the liquidation balance, (1d) if they have been subject to the deduction of tax or have been acquired without tax, with the exception of assets in non-monetary form which have been issued or provided as a replacement under Act No. 229 / 1991 Coll., as amended, or under Act No. 42 / 1992 Coll., as amended.

(4) For the purposes of this Act:

(a) goods of movable goods, including transferable securities, heat and electricity, gas and water; money, human blood and its components for direct clinical use, human organs and breast milk shall not be considered as goods unless otherwise provided for in this law,

(b) a service of provision of activities or tangible results of activities, with the exception of goods;

(c) by the reverse of income and income for taxable transactions without the tax exemption provided for in Article 25, reduced in the case of the payer (hereinafter referred to as "the payer"), where applicable, by tax or turnover tax,

(d) the input tax on the payer, which shall be applied against him as part of the price for the taxable transactions received by the other payer, or the tax to be charged on importation of the goods,

(e) output taxes which the payer is obliged to apply as part of the price for taxable transactions carried out by him;

(f) the deduction of input tax, adjusted where appropriate pursuant to Paragraph 20;

(g) it has a tax liability to increase the output tax above the deduction for the relevant tax period;

(h) by excessive deduction of the excess tax deduction over the output tax for the relevant tax period;

(i) the tax liability is liable to tax or excessive deduction;

(j) increasing the tax liability by increasing the own tax liability or reducing the excess deduction;

(k) a reduction in the tax liability or an increase in the excess deduction;

(l) the tax administrator of the relevant territorial financial authority (2) (hereinafter referred to as the "financial authority"), with the exception of imports of goods and occasional bus services within the country where the tax administrator is the customs office,

(m) a road motor vehicle with a registered category of passenger car or M1 on its technical licence. If category registration is missing, this category is defined by a separate regulation,

(n) a used passenger car, the first acquisition of which could not claim deduction;

(o) proof of use of proof of use of goods or services for purposes other than business or personal consumption by the payer in accordance with Article 7 (2) or, where applicable, for the internal consumption of the taxable person,

(p) domestic territory of the Czech Republic, except free zones and free warehouses,

(q) by tax document, the ordinary tax document referred to in Article 12 (2), the correction tax document referred to in Article 15a (2), the proof of use referred to in Article 12 (5), the repayment calendar referred to in Article 12 (8), the simplified tax document referred to in Article 12 (9), the tax credit and the tax bill referred to in Article 13, the written declaration referred to in Article 43 (4) and Article 45 (3), the proof of payment referred to in Article 12 (7) and 11, the proof of payment or the written payment agreement referred to in Article 46 (4) and Article 47 (7) and the transport document referred to in Article 47 (6,

(r) by a financial lease, followed by the purchase of a leased item, which meets the conditions laid down in the special regulation, 2b)

(s) the basic rate of tax of 22%;

(t) a reduced rate of tax of 5%.

§ 2a

Definition of the concept of money

(1) For the purposes of this Act, money means valid banknotes, statuses and coins of the Czech or foreign currency. Banknotes, statuses and coins which have ceased to be valid but may be exchanged as valid banknotes, statuses and coins shall be considered valid.

(2) They shall also be regarded as goods for the purposes of this Act:

(a) banknotes and coins of the Czech currency at the time of delivery by the manufacturer of the Czech National Bank or at the time of import by the Czech National Bank;

(b) banknotes, statuses and coins of the Czech or foreign currency sold for collecting purposes at prices higher than their nominal value or their conversion into Czech currency according to the central rate declared by the Czech National Bank.

§ 3

Persons liable to pay tax

(1) The persons liable to pay the tax are, in the domestic territory, the persons in favour of whom taxable transactions are carried out and, on importation of the goods of the person to whom goods are to be released, unless otherwise provided by law.

(2) In the case of occasional domestic bus transport, a foreign operator is obliged to pay tax.

ČÁST DRUHÁ

APPLICATION OF TAX FOR TAXABLE IMPLEMENTATION IN THE TERM

HLAVA I

TAXATION BODIES

§ 4

Persons subject to tax

The taxable persons are natural and legal persons carrying out taxable transactions.

§ 5

Payers

(1) The taxpayers are taxable persons whose turnover for the nearest three preceding calendar months exceeds CZK 750 000, from the first day of the second month following the month in which they exceeded the specified turnover. These persons shall be required to submit a registration in accordance with the Tax and Charges Management Act by the 20th day of the calendar month following the month in which they exceeded the specified turnover.

(2) The payers are also taxable persons whose individual turnover does not exceed the amount referred to in paragraph 1 in the case of persons who carry out taxable transactions jointly under a grouping contract (3) or other similar contracts, and where the total turnover of such persons within and outside the grouping exceeds the amount referred to in paragraph 1. Such persons shall be required to submit an application for registration individually within the time limits referred to in paragraph 1 and shall become payers from the first day of the second month following that in which they have exceeded the specified turnover. Where a taxable person who is not a payer enters into a contract for an association or other similar contract with a payer, he shall be required to submit an application for registration on the date of conclusion of the contract and shall become a payer on that date. Persons subject to a tax who are jointly engaged under a contract of association or other similar contracts and are not payers shall be required to submit an application for registration at the effective date indicated on the registration certificate of the participant of the association which, in the case referred to in paragraph 4, first register as a payer and shall become payers from that date.

(3) The taxable persons whose turnover does not exceed the amount referred to in paragraph 1 shall be the payers from the effective date indicated on the registration certificate. Such persons may submit an application for a payer's registration at any time.

(4) The payer may apply for cancellation of the registration not earlier than one year after the effective date indicated on the registration certificate, provided that their turnover for the preceding three consecutive months did not exceed CZK 750,000 and CZK 3,000 000 for the next 12 consecutive months. The payers referred to in paragraph 2 may only apply for the cancellation of the registration individually if the association contract or other similar contract is cancelled, in other cases only jointly.

(5) In the event of cancellation of registration, the payer shall pay the tax on the property in respect of which he has applied the deduction of the tax on turnover or import tax or who has obtained the deduction at prices net of tax or turnover tax on the remaining price of the acquired or transferred tangible and intangible property established in accordance with the special rule, 3b) and the price of the stocks purchased or entered found in accordance with the special regulation 3c) at the date of cancellation of the registration. This tax shall be entered in the tax return for the last tax period. This provision shall not apply to property, including stocks acquired by its own activities, and to works which are exempt under Paragraph 30 (1).

(6) Where a taxable person becomes a payer, he shall be entitled to claim the deduction of the tax paid or entered in the accounts for the property, on the residual price of the tangible and intangible property purchased, established in accordance with the special rule (3b) and on the price of the stocks purchased, established in accordance with the special rule (3c) at the date of effectiveness indicated on the registration certificate. This claim also covers the tangible and intangible assets transferred. The deduction may be applied only to property acquired not later than 12 months before the effective date of the registration certificate. The deduction may not be applied to a passenger car and refundable bottles where they are subject to a prohibition of deduction under Paragraph 19 (4). The conditions for applying the deduction shall be those relating to the tax paid or entered in the accounts. In the case of a taxable person, the documents issued by the payer containing the price, including the tax, shall be recognised for the purposes of deducting the tax at the time of registration of the payer. The entitlement shall be applied in the tax return for the first tax period after the effective date indicated on the registration certificate and the amount of the tax shall be calculated in the manner set out in Article 17 (3). This provision shall not apply to property, including stocks acquired by its own business.

(7) The payers are also taxable persons who acquire property under a privatisation decision under a special law, 3a) from the date of acquisition of the property. These persons shall be required to submit an application for registration no later than 20 days after the date of acquisition of the property.

(8) For the conversion of a company or a cooperative that was a payer into another form of a company or cooperative, or for the merger or merger with another company or cooperative, or for the division of a company or cooperative, all taxable persons to whom the assets of the company or cooperative which have not been liquidated under the special law, 3d shall become payees from the date on which the new company or cooperative is registered. These persons are required to submit an application for registration within 20 days of the date of registration in the Commercial Register. The cancellation of a company or cooperative without liquidation shall not be regarded as cancellation within the meaning of paragraph 5 with an obligation to pay tax. Similarly, if:

(a) a natural person who is a payer shall cease his business in the way that he places his entire business assets in a legal person who is immediately continuing that activity and whose sole founder;

(b) the legal person established by a single natural person shall be dissolved and the activity of the deceased legal person shall continue as an entrepreneur.

(9) The payers referred to in paragraphs 7 and 8 may apply for cancellation after three months from the date on which they became payers pursuant to paragraph 7 or 8, provided that their turnover does not exceed CZK 750 000 for those three months. When the registration is cancelled, the payer shall be liable for the payment of the tax referred to in paragraph 5 and for the payment of the tax on assets acquired free of charge on the remaining price of the tangible and intangible assets purchased or transferred, as determined under the Special Law (3b) and on the price of the purchased or transferred stocks established under the Special Law (3c) at the date of cancellation of the registration. This tax shall be entered in the tax return for the last tax period. This provision shall not apply to property acquired by its own activity.

§ 6

Persons having a special relationship with the payer

(1) For the purposes of this Act, persons having a special relationship with the payer shall be regarded as:

(a) persons who are the statutory body of the payer or a member of the statutory body of the payer, as well as persons directly subordinate to it;

(b) members of the supervisory board of the payer,

(c) persons in control of the payer, their main shareholders and members of the board of companies;

(d) persons who have a special relationship with natural persons referred to in points (a) to (c) or with a payer who is a natural person;

(e) legal persons in which any of the persons referred to in (a), (b) and (c) have a share of the capital in excess of 10%;

(f) the main shareholders of the payer and any legal person under their control;

(g) persons who are in employment law (4) or any other similar relationship with the payer;

(h) persons who deal with the payer jointly under a contract for a grouping or other similar contract;

(i) members of cooperative members working with the cooperative, 4a)

(j) persons who are the statutory body of legal persons having a special relationship with the payer.

(2) Persons who have a special relationship with natural persons referred to in paragraph 1 (d) are close (5) persons and persons who live with persons referred to in paragraph 1 (d) in the common household for at least one year and who, for this reason, tend to or are dependent on a common household for that person, uncles, aunts, nephews, nieces and cousins who have common grandparents.

(3) A check on a payer shall mean, under this law, ownership of more than 50% of its shares or other participating interests. The main shareholder is the owner of more than 10% of the shares or other participating interests.

HLAVA II

SUBJECT MATTER AND PLACE OF IMPLEMENTATION

§ 7

Subject matter

(1) The subject of the tax shall be all taxable transactions for remuneration and without payment, including in kind domestic transactions, unless otherwise provided for in this law.

(2) For the purposes of this Act, taxable transactions shall also be regarded as:

(a) the supply of goods, services, construction, transfer and use by the payer of rights for his personal consumption, in so far as he is a natural person;

(b) the supply of goods, services, construction, transfer and use of rights for non-business purposes in respect of own transactions subject to tax in the case of business;

(c) the supply of goods, services, construction, transfer and use of rights for non-business purposes in respect of taxable transactions received for which a deduction has been made or which have been acquired without tax;

(d) the use of a passenger car and refundable bottles of own production in cases where the payer is not entitled to deduct pursuant to Paragraph 19 (4);

(e) the use of a motor vehicle for which a right to deduct has been claimed or which has been lawfully purchased at a price net of turnover tax, for a technical assessment resulting in a passenger car not entitled to deduct pursuant to Paragraph 19 (4).

(3) The subject of the tax is not the free provision of goods of advertising and promotional character bearing the name or company name of the payer whose unit entry price does not exceed CZK 200 without tax and the goods are not subject to excise duty.

§ 8

Place of taxable supply

(1) The place of taxable supply is when goods are delivered

(a) the place where the goods are located at the time when the transport or dispatch of the goods begins to take place when the supply of the goods is linked to the transport or dispatch of the goods; it does not matter who carries out the transport or dispatch of the goods,

(b) the place where the goods are installed or assembled when the supply of the goods is linked to their installation or installation;

(c) the place where the goods are located at the time when the delivery takes place where the supply of the goods is effected without transport or dispatch.

(2) The place of taxable supply when the property is transferred or the property is delivered is the place where the property or building is located.

(3) The place of taxable supply in the provision of services and in the transfer and use of rights is:

(a) the place where the person providing the service, or carrying out the transfer and exercise of rights, has his registered office or has a permanent establishment in which he provides the services; if he does not have a registered office or permanent establishment, the place where he resides or, where appropriate, the place where he usually resides, unless that law provides otherwise;

(b) the place where the property or building object is located when providing services relating to these matters, including services of real estate agencies, valuers and services of architects and building supervision;

(c) the place where the transport begins to take place in the course of the provision of transport services, unless otherwise provided by this law;

(d) the place where such services are actually provided, in the provision of services related to cultural, artistic, sports, scientific, educational, entertainment and similar activities, including the brokering and organisation of such activities and ancillary services;

(e) the place where such services are actually provided, irrespective of the provisions of point (a), in respect of tourism services, accommodation services, public catering services, advisory services, financial services, insurance, commercial and brokering services, legal, information and translation services and educational activities.

HLAVA III

GRANTING OF TAXABLE IMPLEMENTATION, TAXATION OBLIGATIONS AND EXISTING TAXABLE DOCUMENTS

§ 9

Implementation of taxable transactions

(1) Taxable transactions are considered to have taken place

(a) on the sale of goods under the contract of sale on the date of delivery, (6) in other cases on the date on which the goods are taken over or paid, and on the earlier date, unless otherwise provided for in this law;

(b) on the sale of newspapers, journals and other periodicals where the payment is made in the form of a subscription, on the date on which the subscription is paid and, where the subscription is paid in advance, on the date on which the advance is settled;

(c) on the sale of goods in the form of mail order sales 6a) on the date of receipt of the payment by the seller;

(d) when the property is transferred on the date of service of the decision on the legal effects of the deposit in the property register;

(e) in the case of the provision of services on the date on which they are provided or paid, the date that occurs earlier, in the case of the completion of tourism services on the date on which the last service is provided or paid, the date that occurs earlier;

(f) in the case of taxable transactions carried out under a contract for work by the payment or acceptance and transmission of the work, by the date that occurs earlier in respect of the gradual transfer and use of rights, the date specified in the contract;

(g) on the supply of heat and electricity, gas and water and, in the case of telecommunications services, on the date of deduction from the measuring equipment and, where applicable, on the date of actual detection of consumption, provided that it is established by the relevant technical and operational rules of the supplier of the said media;

(h) when the services, electricity, heat, gas or water referred to in Article 14 (12) are reaccounted for by the date on which the amount of the annual amount or payment is established, by the earlier date;

(i) in the case of the transfer and use of rights on the date on which the contract is effective;

(j) in the case of taxable transactions carried out without payment on the date specified in the contract or in the takeover or, where applicable, by the earlier date;

(k) in the event of taxable transactions carried out for personal consumption by a payer who is a natural person and for purposes not related to the taking over of goods or the provision of services or the transfer and use of rights;

(l) when using a passenger car, its own production, in cases where the payer is not entitled to deduct pursuant to Paragraph 19 (4), the date of the transfer to the tangible capital goods or, where appropriate, the date on which the transfer was to take place;

(m) when using refundable bottles of own production where the payer is not entitled to deduct pursuant to Paragraph 19 (4), on the date of transfer to the stock register,

(n) when using a motor vehicle for which a right to deduct has been claimed or which has been lawfully purchased at a price net of turnover tax, for a technical assessment resulting in a passenger car not entitled to deduct pursuant to Paragraph 19 (4), on the date of approval of the technical competence by the transport inspector of the Police of the Czech Republic,

(o) in other cases on the date of payment.

(2) Taxable transactions made by means of vending machines or, where appropriate, other similar instruments put into operation by coins, banknotes, stamps or other means of payment replacing money, and where the payment for taxable transactions is made by means of means of payment replacing money, shall be deemed to have taken place on the date on which the payer takes out the money or means of payment replacing money from the instrument or in any other way establishing the amount of turnover.

(3) In the case of partial transactions, each partial transaction shall be considered as a separate taxable transaction. (7) Financial leasing contracts with a subsequent purchase of a hired item, 7a) Works contracts with a part-time contract (8) or other similar contracts are carried out in the agreed extent and within the agreed time limits and are not the total taxable transactions on which a valid contract is negotiated. In the case of taxable transactions where partial transactions are made under a contract during the tax period, taxable transactions shall be deemed to have taken place on the date indicated in the contract, except for partial transactions under the contract for work. In the case of lease contracts, taxable transactions shall be deemed to have taken place no later than the last day of each calendar year.

(4) In the case of taxable transactions where, during the tax period, a repeated performance contract is granted, taxable transactions shall be deemed to have been carried out no later than the last day of the tax period. Repeated performance means the execution of taxable transactions within the agreed time limits, the performance of which is the same goods, service or transfer and the use of law under this contract.

(5) The payment of the advance shall not be considered to be a taxable event.

§ 10

Obligation to apply the output tax

(1) The obligation to apply the tax on output arises on the date on which taxable transactions are carried out, unless otherwise provided by law.

(2) Where the payer has carried out taxable transactions exempt under Paragraph 25, 46 and 47 or subject to a reduced rate and has issued a tax document with an incorrectly higher tax rate for such taxable transactions, the obligation to apply the tax on output shall arise at the rate of the difference between the tax on the tax document and the tax on output for the taxable transactions carried out, on the date of issue of the tax document.

(3) The tax on output shall be entered by the payer in the tax return for the tax period in which the taxable transaction took place.

§ 11

Record keeping for tax purposes

(1) In particular, the payer is required to keep records of the taxable transactions received and carried out and to register separately the tax documents received and issued, the simplified tax documents and the tax credits and the bills and the documents of use issued. In the case of taxable transactions received, it is required to keep records broken down into transactions on imports and on domestic sales at individual rates. In the case of taxable transactions carried out, it is required to keep records broken down into exempt transactions pursuant to Paragraph 25, export and domestic transactions broken down by tax rate and non-taxable transactions. The tax authority may require the keeping of records relevant to the determination of the tax in accordance with specific rules. (a)

(2) The payer is obliged to keep records of all sales for taxable transactions carried out, broken down by tax rate and exempt transactions for each tax period.

(3) Paying agents who work together under a contract for associations or other similar contracts are required to keep the records referred to in paragraphs 1 and 2 separately for the whole association. The register shall be kept by a designated participant in the association.

§ 12

Issue of tax documents, documents of use and their content

(1) The payer shall draw up, for each taxable transaction for another payer, a normal tax document, in the case of taxable transactions pursuant to Article 7 (2), a proof of use, at the earliest on the date on which the taxable transaction is carried out and no later than 15 days after that date, unless otherwise provided for in this law. A document issued before a taxable transaction is carried out shall not be a tax document, except for the repayment schedule referred to in paragraph 8. The payer is not obliged to issue a tax document for taxable transactions exempt under § 25.

(2) The ordinary tax document must contain:

(a) the business name, registered office or place of residence or place of business of the payer who carries out taxable transactions;

(b) tax identification number9) a payer who carries out taxable transactions;

(c) the business name, registered office or place of residence or place of business of the payer for which taxable transactions are carried out;

(d) the tax identification number of the payer for which taxable transactions are made;

(e) the serial number of the document,

(f) the scope and subject matter of the taxable supply;

(g) the date of issue of the document;

(h) the date on which taxable transactions are carried out;

(i) the price net of tax total;

(j) the tax rate provided for in Article 16;

(k) the total amount of the tax, rounded up to the ten-cent, and, where appropriate, in pennies.

The payer who has carried out taxable transactions shall be responsible for the accuracy of the information on the ordinary tax document.

(3) Where the taxable transactions indicated on the tax document are part of a transaction with different tax rates or exempt rates, the amount of the total tax and the amount of the tax shall be indicated on that document separately according to the rates laid down or exemption, unless otherwise provided for in this Law.

(4) The taxpayers and persons whose registration has been revoked are obliged to keep all the tax documents relevant for the determination of tax for a period of 10 years from the end of the calendar year in which the tax became chargeable.

(5) The proof of use must include:

(a) the business name, registered office or place of residence or place of business of the payer who carries out taxable transactions;

(b) the tax identification number of the payer carrying out the taxable transaction;

(c) the purpose of the application;

(d) the serial number of the document;

(e) the scope and subject matter of taxable transactions;

(f) the date of issue of the document;

(g) the date on which taxable transactions are carried out;

(h) the price net of tax total;

(i) the tax rate under Article 16;

(j) the total amount of the tax, rounded up to ten pennies, if any, in pennies.

The payer who has carried out taxable transactions shall be responsible for the accuracy of the information on the document of use.

(6) A person subject to a tax who is not a payer may not issue a document bearing the particulars of the tax document. If it is issued, it will be fined in accordance with a special rule. 9a)

(7) For the purposes of applying the deduction provided for in Paragraph 19, for taxable transactions in bulk transport of persons, the function of the tax document shall be the proof of payment issued by the payer. This payment document shall contain at least the name and price of the payer who carries out the taxable transaction. The amount of tax calculated for the purposes of deducting the tax on this document shall be the responsibility of the payer for whom the taxable transaction is carried out. In this case, the tax shall be calculated in accordance with Paragraph 17 (3).

(8) In the case of lease contracts and finance lease contracts with subsequent purchase of the hired item, the tax document may also be used as a repayment schedule, which forms part of the contract or is explicitly referred to in the contract, provided that it contains the particulars referred to in Article 12 (2). The payment schedule shall include the payer in the list of tax documents in each tax period to which it relates. The payer carrying out taxable transactions shall be responsible for the accuracy of the data on the payment schedule.

(9) The payer carrying out taxable transactions with payment of cash shall, upon request, issue to another payer a simplified tax document immediately upon the performance of the taxable transactions. The simplified tax document can only be issued for taxable transactions in the total price including tax of up to CZK 10,000. On the simplified tax document, the payer who carries out the taxable transaction must provide the information referred to in paragraph 2 (a), (b), (e), (f), (h) and (j) and the price including the total tax. For the purposes of deducting the tax on the simplified document, the payer for which the taxable transaction is carried out shall be responsible for the correctness of the calculated amount of tax for the purposes of deducting the tax on the simplified document, even if it is indicated on the simplified tax document by the payer carrying out the taxable transaction. The tax shall be calculated in accordance with Paragraph 17 (3) and shall appear on the simplified tax document. For the purposes of deducting the tax, the name of the payer for whom taxable transactions are carried out shall be indicated on the simplified tax document. This trade name shall be indicated on the simplified tax document by the payer carrying out the taxable transactions or, where applicable, by the payer for whom the taxable transactions are carried out.

(10) A payer who sells and buys services acquired from abroad and from home and intended for the completion of tourism services is not obliged to issue a tax document in the case of transactions for another payer who does not wish to claim a deduction. In this case, it shall issue a proof of payment stating the information referred to in paragraph 2 (a) and (b), the business name of the payer for whom the taxable transaction is carried out, the serial number of the document, the date of the taxable transaction, the price including the tax and the relevant tax rates referred to in Article 16 and the notification that the price indicated contains the tax. This document shall be issued by the payer at the earliest on the date on which the taxable supply takes place and no later than 15 days after that date. However, where the payer for whom taxable transactions are carried out requires a tax document to be issued, the payer who provides such transactions shall be obliged to issue it.

(11) When auctioning goods or immovable property on the basis of an execution procedure carried out by the State authority of which the payer is the owner, the tax document shall be a tax document for the purposes of deduction in accordance with Paragraph 19. The payment document shall indicate the information referred to in paragraph 2 and the indication that it is a sale under the execution procedure.

§ 13

Tax credit and credit

(1) If the taxable amount is corrected in accordance with Article 15, the payer carrying out the taxable transactions shall draw up a tax credit or a bill for the payer for whose benefit the taxable transactions are carried out, not later than 15 days after the correction has been made. The tax credit or write-down cannot be used to correct the tax rate and the amount of tax pursuant to § 15a.

(2) The tax credit is a tax document correcting the amount of the tax when the price of taxable transactions is reduced.

(3) The tax code is a tax document correcting the amount of tax when the price of taxable transactions increases.

(4) The tax credit and the underwriting shall contain the information set out in Article 12 (2) (a), (b), (c), (d), (e), (f), (g), (j) and,

(a) if the credit is credit, the difference between the original and the reduced price for taxable transactions, excluding tax, and the corresponding tax, rounded up to ten and, where appropriate, in pennies;

(b) if the invoice is made out, the difference between the original and the increased price for taxable transactions, excluding tax, and the corresponding tax, rounded up to ten and, where appropriate, in pennies.

HLAVA IV

TAXATION BASIS

§ 14

The tax base and its calculation

(1) The basis for calculating the tax is the price 10) for taxable transactions which do not contain tax, unless otherwise provided for in this Law.

(2) The basis for the calculation of the tax may also be the price, including the tax, in particular in the case of making taxable transactions to payers for cash, making taxable transactions to non-payers and in the case of taxable transactions pursuant to Article 12 (7).

Citation	Full text of Act No. 27 / 1996 Coll., Act of the Czech National Council on Value Added Tax (full text as shown by later amendments and additions)
Regulation Type	Declared full text
Author	-
Collection	Code of Laws

Date of Promulgation	13.02.1996
Effective from	-
Effective until	-
Status	Valid

Full text of Act No. 27 / 1996 Coll.

Act of the Czech National Council on Value Added Tax (full text as shown by later amendments and additions)

Contents