scholarly journals Specifics of Cryptocurrencies from an Accounting, Tax and Financial View in a Globalized Environment

2021 ◽  
Vol 92 ◽  
pp. 03014
Author(s):  
Ivana Kucharova ◽  
Daniela Pfeiferova ◽  
Enikő Lőrinczova
Keyword(s):  
Czech Republic ◽  
Income Tax ◽  
Slovak Republic ◽  
Value Added ◽  
Legal Framework ◽  
Tax Base ◽  
Virtual Currency ◽  
The Czech Republic ◽  
Digital Asset ◽  
Financial Transactions

Research background: With the advancing entrance of digital technologies into all areas of private and business life in the past 10 years a new digital asset referred to as virtual currency or cryptocurrency had been invented. This virtual currency is not yet regulated in most countries and there is a need to establish a legal framework for accounting, taxation and recording of financial transactions so the treatment of transactions with these digital assets is the same across the globalized environment, as different approaches may affect the decision-making of the management and investors or can alter the tax base for income tax purposes. Purpose of the article: The aim of this paper is to compare and discuss the different possible approaches of recording and reporting of the virtual currencies for accounting and tax purposes and to compare the approaches among the Czech Republic, the Slovak Republic and Germany to point out the need for a harmonized solution in a global environment, as dealing with cryptocurrencies is not included in the accounting and tax legal framework in many other countries. Methods: Methods of description, analysis, comparison and synthesis are used to achieve the set aim of the paper. Different approaches to the topic are demonstrated and compared in illustrative Tables. Findings & Value added: The paper highlights the need for a uniform approach for the accounting and tax treatment of virtual currency by comparing the level of legal definitions and different approaches. The most elaborate legal implementation of this topic is in the Slovak Republic where the treatment of virtual currencies is included in the Accounting Act and the Income Tax Act. The Czech Republic approaches cryptocurrencies only on the basis of recommendations from the Ministry of Finance, which is not legally binding to obey. Germany has included cryptocurrencies in the Banking Act, the accounting definition is missing and the tax solution is in the Income Tax Act.

scholarly journals Range data reported to the requirements of the IAS 12 and impact of the IFRS adoption for tax purposes in the tax collection of the Czech Republic

2013 ◽  
Vol 61 (4) ◽  
pp. 961-966 ◽  
Author(s):  
Simona Jirásková
Keyword(s):  
Czech Republic ◽  
Financial Reporting ◽  
Income Tax ◽  
Range Data ◽  
Tax Collection ◽  
Tax Base ◽  
The Czech Republic ◽  
Accounting Regulation ◽  
The Impact ◽  
The Relationship

An issue of relationship between corporate income tax and accounting is one of the most discussed at present. Until recently the tax base was derived from the accounting profit defined in the Czech accounting law. But from 2004 there are companies which have to use IFRS in bookkeeping and financial reporting and from the perspective of the Czech accounting law they do not care about Czech accounting regulation. On the other hand Czech tax regulation has not accepted this change in the field of European accounting harmonization and still directs to pay tax on the basis of Czech accounting regulation for all entities. Fear of adverse change in tax collection is one of the main reasons why the Czech Tax Administration does not allow to pay income tax under profit or loss patterned on IFRS. The most important goal of this work is to characterize the relationship between accounting profit or loss under IFRS and the tax base of income and to find out the impact of taxation under profit in accordance with IFRS in total tax collection. Basic sample of all analyses consists of 35 accounting entities which mandatorily use IFRS and this sample was also confronted with a list of 106 major payers of income tax published yearly by the Ministry of Finance of the Czech Republic for the needs characterization of the relationship of profit under IFRS and the tax base of income.

scholarly journals Supporting Producer Groups – Increasing Producer’s Value Aded?

2018 ◽  
Vol 49 (2) ◽  
pp. 142-152 ◽  
Author(s):  
P. Kotyza ◽  
K. Tomsik ◽  
K. Elisova ◽  
A. Hornowski
Keyword(s):  
Czech Republic ◽  
Agricultural Sector ◽  
Slovak Republic ◽  
Value Added ◽  
The Czech Republic ◽  
Relative Ease ◽  
Programming Period

Abstract Cooperation between entities can be the basis for improved competitiveness. The Czech Republic and the Slovak Republic were able to draw on EU funds to support the formation of producer groups. Main objective was to investigate whether the funds have led to an increase of value added of products placed on the market. In the Czech Republic and the Slovak Republic during the reporting period the sum of 44 million EUR was provided to support the establishment of marketing organizations, 305 producer groups were supported. Many of the supported entities are no longer active. In the Czech Republic, only 15 entities are still operating, but they do not have a significant impact on the increase of value added of the agricultural sector. In the Slovak Republic, entities supported in the first programming period (2004–2006) have a higher share of the generated value added. During the second funding period (2007–2013), the supported groups showed a negative value added. Given the characteristics of supported groups, the number of successfully supported groups, the reported features and the total value of generated value added, it can be suggested that most of the entities were established due to the relative ease of fundraising.

scholarly journals Reflection of the Change in VAT Rates on Selected Household Expenditures in the Czech Republic and the Slovak Republic (2007–2013)

2014 ◽  
Vol 62 (6) ◽  
pp. 1465-1474 ◽  
Author(s):  
Jan Široký ◽  
Regína Střílková ◽  
Anna Bánociová ◽  
Veronika Zlaczká
Keyword(s):  
Czech Republic ◽  
Slovak Republic ◽  
Value Added ◽  
Synthetic Methods ◽  
The European Union ◽  
Household Expenditures ◽  
The Czech Republic ◽  
Typical Representative ◽  
Household Spending ◽  
Reduced Rate

Member States of the European Union in the period of years 2007–2013 increased the rate of value added tax several times in an attempt to consolidate public budgets. While the Czech Republic is a typical representative of country changing VAT rates several times, Slovakia made practically only one change in the VAT rate. On the other hand, the Slovak Republic is a country where the reduced rate is applied only to the minimum of commodities. Changes in VAT are naturally reflected in household expenditures which are analyzed by the consumer basket, whose composition is also a subject of changes. Another factor that has an impact on household spending is swapping commodities between the rates of VAT.The aim of this paper is, based on the analytic-synthetic methods, to determine how are these changes differently manifested in the Czech Republic and the Slovak Republic in reference to the share of commodity consumption included in the standard and reduced VAT rates and to the exempt transactions, and, in particular, to determine how they affected the VAT burden of the hypothetical household in both countries.

scholarly journals Effective tax rate for income from employment in the Czech Republic and Slovak Republic – a comparative study

2013 ◽  
Vol 61 (7) ◽  
pp. 2005-2020
Author(s):  
Karel Brychta
Keyword(s):  
Czech Republic ◽  
Comparative Study ◽  
Income Tax ◽  
Legal Status ◽  
Slovak Republic ◽  
General Introduction ◽  
Effective Tax Rate ◽  
The Czech Republic ◽  
Tax Rate ◽  
The Individual

The objective of this paper is primarily to compare and describe the development of the effective tax rate (relative tax burden) on the taxpayer earning only income from employment and emoluments in the Czech and Slovak Republics. The reason for choosing this type of income has been its importance in terms of the volume of tax collection in the area of natural persons income tax in the Czech Republic. The actual comparison has been performed for the years 2010, 2011 and 2012. In all cases, the legal status was considered that was valid and effective as of 31. 12. of particular year. Comparison of the effective tax rate was performed not only between the individual countries themselves, but also chronologically for individual countries (the Czech and Slovak Republics, respectively). After the general introduction, the relevant legislation as to incomes from employment and emoluments in both countries is explained. A separate chapter discusses the specification of the applied methodology, within which basic starting points and the simplifications applied are defined. Another part of the paper contains outputs from compiled mathematical models. These are presented in the form of graphic outputs and supplemented with commentary.

scholarly journals Tax systems in the Czech Republic and the Slovak Republic: comparison with an emphasis on income tax

2017 ◽  
Vol 165 (5-6) ◽  
pp. 47-51 ◽  
Author(s):  
Ludmila Lipkova ◽  
◽  
Martin Gress ◽  
Alena Poncarova ◽  
◽  
...  
Keyword(s):  
Czech Republic ◽  
Income Tax ◽  
Slovak Republic ◽  
The Czech Republic ◽  
Tax Systems

scholarly journals The Effect of Tax Changes on Financial Leasing in the Czech Republic

Equilibrium ◽  
2012 ◽  
Vol 7 (2) ◽  
pp. 97-117
Author(s):  
Monika Grebikova
Keyword(s):  
Czech Republic ◽  
Income Tax ◽  
Legal Framework ◽  
The Czech Republic ◽  
Financial Leasing ◽  
Fixed Assets ◽  
Tax Changes

The article is focused on fixed assets, especially on purchase by financial leasing. There are summarized tax changes of income tax and VAT. The main aim of the article is to find out the legal framework and to analyze the effect of the tax changes on financial leasing in the Czech Republic.

scholarly journals Comparative Analysis of Financing for Small and Medium-Sized Enterprises in the Visegrad Group

2021 ◽  
Vol 92 ◽  
pp. 06041
Author(s):  
Veronika Vrablova
Keyword(s):  
Czech Republic ◽  
Comparative Analysis ◽  
National Economy ◽  
Slovak Republic ◽  
Value Added ◽  
Bank Loans ◽  
Access To Finance ◽  
The Czech Republic ◽  
The World ◽  
Visegrad Group

Research background: Small and medium-sized enterprises form the backbone of any national economy. Therefore, sources of financing are important for the enterprise´s growth around the world. Finance for enterprises can be divided into classic and alternative. Recently, alternative ways of financing experienced a boom, especially venture capital, business angels, and crowdfunding. Although this type of funding is well known around the world, there are difficulties in using alternative financing among the Visegrad group. Moreover, there are lots of other factors curbing the expansion of enterprises. Purpose of the article: The purpose of this paper is to identify and compare sources of financing for small and medium-sized enterprises among the Visegrad group with focus on alternative financing. Visegrad group consists of the Slovak Republic, the Czech Republic, the Hungary, and the Poland. This paper presents an overview of available financing for small and medium-sized enterprises among the Visegrad group. Methods: For analysis, we used data from the the Survey on the access to finance for enterprises in 2019. Moreover, we also did hypothesis testing to compare the usage of financing through bank overdraft in the year 2019. Findings & Value added: We have reached several conclusions. Firstly, this paper suggests that classic sources of financing are used more than alternative ways, from which the bank loans and leasing are used the most. Secondly, the best condition of financing among countries of the Visegrad group is in Poland, but also other countries have huge potential. And finally, financing of enterprises is not the main issue causing difficulties in making business.

scholarly journals Evaluation of economic potential of business environment development by comparing sector differences: perspective of SMEs in the Czech Republic and Slovakia

2020 ◽  
Vol 11 (1) ◽  
pp. 135-159 ◽  
Author(s):  
Jaroslav Belas ◽  
Beata Gavurova ◽  
Martin Cepel ◽  
Matus Kubak
Keyword(s):  
Czech Republic ◽  
Slovak Republic ◽  
Value Added ◽  
Business Environment ◽  
Transport Sector ◽  
Categorical Variables ◽  
The Czech Republic ◽  
Doing Business ◽  
Business Conditions ◽  
The Given

Research background: Improving business conditions and SME development are signs of a country’s macroeconomic stability. The issue of identifying and removing barriers to the development of firms in the SME segment is a priority in all countries with developed economies and its importance is currently increasing. Purpose of the article: The main aim of this paper is to explore possible differences in entrepreneurs’ perception of the business environment based on the industry in which the company operates. The analysis contains also a national view, where a comparison between the Czech Republic and the Slovak Republic is performed. Methods: Correspondence analysis was used to achieve the research objectives in order to examine the relations between the categorical variables. Its application is beneficial in cases where the graphic output is clearer than the numerical one. Findings & Value added: The presented research makes it possible to identify problematic aspects of doing business in each sector and to create support mechanisms for the creation of effective structural policies. Entrepreneurs from the Czech Republic’s Production and Transport sectors agree with the statement that the business environment in the country is suitable for starting a business. As for business environment’s suitability for doing business, neither Slovak nor Czech entrepreneurs sector-wide agreed with the given statement. Czech entrepreneurs from the Services, Trade and Construction sectors, respectively, agree, fully agree with the statement that the business environment in the country is reasonably risky and allows for doing business. In the case of entrepreneurs from Slovakia, no significant correspondence is observed. Findings regarding the statement that the business conditions in the country have improved over the past five years are the following: In the Czech Republic, there is a perfect correspondence of the Transport sector and the agreement with the given statement. In the Slovak Republic, agreement was found with the given statement in the Transport sector and neutral position in the Production sector.

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