Dispute resolution

Czech Republic Dispute Resolution Country Profile

 

 

last update 6 June 2014

 

Competent Authority 

for MNE incl. transfer pricing cases:

General Financial Directorate
Mr. Michal Rohacek
Head of Direct Taxes International Cooperation Unit
Lazarská 7, 117 22 Prague 1
Czech Republic
Tel: +42029685 4162
Fax: +42029685 3047
e-mail: michal.rohacek@ds.mfcr.cz

for cases on the application of double taxation treaties:

Mr. Vaclav Zika
Deputy Director General of Income Tax Department
Head of Division of International Tax Relations
Ministry of Finance
Lazarská 15, 118 10 Prague 1
Czech Republic
Tel: +42025704 3197
Fax: +42025704 4049
e-mail: Vaclav.Zika@mfcr.cz 

 Organization

for MNE and transfer pricing cases:
General Financial Directorate (Direct Taxes Department, Direct Taxes International Cooperation Unit)

for cases on the application of double taxation treaties:
Ministry of Finance (Income Tax Department, Division for International Tax Relations)

Scope of MAP & MAP APA

for MNE and transfer pricing cases:
Taxation not in accordance with the provisions of the double tax treaties; interpretation and application of the DTA in cases which are not covered by the DTA.
Negotiation of bilateral or multilateral APAs.

for cases on the application of double taxation treaties:
Taxation in accordance with the provisions of the double tax treaties; interpretation and application of the DTA in cases which are covered by the DTA.  

Domestic guidelines & administrative arrangements

APA - Section 38nc of Act on Income Tax;

Guidance D-333, Communication by the Ministry of Finance in respect of binding ruling over the transfer pricing policy used in related party transactions (with link to DTAs).

Time for filing

Keeping with the DTA provisions.

Form of request

for MNE and transfer pricing cases:
A request to the local tax office (by the Czech taxpayer) or to the competent authority (by the other tax authority).

for cases on the application of double taxation treaties:
A letter of the Czech taxpayer addressed to the Czech competent authority or a letter of the foreign tax authority to the Czech competent authority.

Documentation requirement

No special TP documentation requirement, but according to the domestic tax law a person liable to tax must substantiate (i.e. have to provide documentary evidence of) all the facts which he/she is obligated to state in his/her tax return, supplementary tax return and/or other submissions or he/she must substantiate these facts when requested to do so by the tax administrator in the course of tax proceedings.

User fees

10 000 CZK for submission of APA

Tax collection / penalty / interest

Collection by the local competent tax administrator.

Other dispute resolution mechanisms

The EU Arbitration Convention for transfer pricing cases.

Government Website

http://www.mfcr.cz

http://www.financnisprava.cz

 

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