Beware of trading with cryptocurrencies, was said at a conference on tax compliance.
Not only about the focus of the Czech tax authorities this year, but for example also about the latest developments in the field of beneficial ownership registration or whistleblowing were presented by partners and attorneys Bříza & Trubač at an online seminar organized by EPRAVO.CZ in January this year.
Partners Ondřej Trubač, who moderated the seminar, and Patrik Koželuha pointed out the long-standing "evergreens" that businessmen have to watch out for every year in connection with audits by the tax authorities. They also offered practical advice about the best way how to proceed in challenging situations. But they also mentioned specific areas that the tax authorities are expected to focus on this year. These may include trading in cryptocurrencies, online marketplaces, or income from paid collaborations on entertainment internet platforms, or controls on the release of goods under the so-called customs regime 42.
Attorney Barbora Klimešová spoke about the latest developments in the legal regulation of whistleblowing or protection of whistleblowers. The government's draft law, which is currently being discussed in the committees of the Chamber of Deputies and which transposes the relevant European directive into Czech law, is supposed to be effective from 1 July 2023. The so-called internal whistleblowing system will have to be introduced by those who are affected, such as companies with more than 50 employees or public contracting authorities, from 15 December 2023.
Attorney Martin Bareš focused on the issue of so-called beneficial owners and their registration. The members of the statutory body have to know and correctly register the beneficial owner as part of the so-called “due diligence”. If they fail to do so, they expose themselves and the company to the risk of damage and the imposition of sanctions - for example, a fine of up to CZK 500,000, which can be imposed repeatedly. However, even more complications for the affected company may be caused by automatically occurring so-called corporate sanctions, such as suspending the voting rights of the beneficial owner at the general meeting and prohibition of payment of profits to the beneficial owner. This leads to a complete paralysis of the affected company, which cannot pay out profits, approve the financial statements or elect new directors. This is why compliance with the obligation to register beneficial owners is so important for the members of the statutory bodies.