The amendment to statutory measures of the Senate No. 340/2013 Coll., On real estate acquisition tax, effective from November 1, 2016
JUDr. Jakub Vozáb, PhD. 19.08.2016
The amendment introduces, with effect from 1 November 2016 the following significant changes:
- Change in the person of the taxpayer
The taxpayer paid transfer at the new property buyer. At the same time eliminate Institute guarantor and the only person responsible to the state and the property buyer. The tax will respond to his name.
As a consequence, among other things, eliminates the need to tackle ensure payment of taxes in purchase and other agreements, because eliminates the risk that the other party of the contract could be liable for the payment of taxes, etc.
- Changing the concept of liberation of new buildings and units
The amendment introduces a change in the fact that the tax exemption for the first chargeable acquisition of the new building (or unit) will apply to only to the completed building (unit), in accordance with applicable building regulations or building or at least prematurely used. Therefore any consideration of acquisition „unfinished construction“ before its completion or before the early use will therefore be burdened with new taxes. Subsequent consideration first acquisition after completion of construction and commencement of early use will be exempt, and if such acquisition is made within five years of completion, or start early use.
- Taxation acquisition of property in the transfer of assets to a partner business corporation
Currently, the tax exempt acquisition of property as a result of the conversion of the corporation. According to the explanatory memorandum to the amendment it is undesirable that the taxes were excluded cases where there is acquisition of property as a result of the transfer of assets to a shareholder. The amendment to the then newly included in the case of chargeable acquisition of taxable real estate as well as those cases where the law partner acquires title to the property as a result of the transfer of assets of the corporation.