Real estate acquisition tax has officially been abolished. This abolishment affects retroactively all real estate transfers for which the deadline for the tax return submission was on or after 31 March 2020. Nevertheless, penalties connected to late submission and late payments of tax have generally been waived so far – due to the coronavirus situation.
In practice, this means that all transfers entered in the Land Register from December 2019 onwards are newly not subject to real estate acquisition tax.
In the event that a transfer was entered in the Land Register in December 2019 and the taxpayer submitted a tax return on or before 31 March 2020 and paid the tax, the taxpayer can reclaim the tax.
Should you have any questions regarding the issues above, please do not hesitate to contact Jan Zeman, e-mail: jan.zeman@tpa-group.cz