Suspension of Electronic Records of Sales (Czech abbreviation EET) until 1st January of 2023
On November 3rd, 2020 Act No. 449/2020 Coll. which amends Act No. 137/2020 Coll., on some amendments in the field of Records of Sales in relation with the declaration of the state of emergency, as amended will come into force. This Act effectively suspends all EET in the Czech Republic.
The Amendment provides that the subject of Record of Sales[1] is not required to fulfil the recording obligation and neither the obligation to post information notice in the period up to 31st December 2022. The provision, therefore, applies to both EET waves that were already launched (hoteliers, restaurateurs, retail shops, wholesalers) as well as to the 3rd and 4th waves that were yet to launch (e.g. craftsmen, hauliers, farmers). The suspension takes place automatically with the Act coming into force. There is no need for any extra reporting to the tax authority.
The only obligation left to subjects concerning the EET is to ensure the prevention of misuse of authentication data, a sales registration certificate, and a block of receipts.
At the same time, the law stipulates that all applications for registration under the special regime submitted by 30 June 2022 will not be considered as accepted, and therefore processed, until the 1st of July 2022. The same provision applies to certificate renewal.
On the other hand, the EET system will still be operational and subjects will be able to continue to record sales voluntarily.
The fate of EET, therefore, lies in the hands of the next Government and the Chamber of Deputies, which will come out of the elections by 2021 at the latest.
[1] § 3 para. (1) 112/2016 Coll. Sales Registration Act; The subject of the Record of Sales is the taxpayer of a) personal income tax and b) corporate income tax.
For more information on this subject, please feel free to contact:
JUDr. Monika Rutland, partner
rutland & partners, law firm
tel: +420 226 226 026
email: monika.rutland@rutlands.cz
