Czech Republic becomes latest EU state to announce digital tax plans

May 07, 2019

Following in the footsteps of France, Austria, Italy, the UK and Spain, the Czech Republic recently announced plans to introduce a digital tax.  The rate of 7 per cent will be the highest tax on the digital sector in the EU to date.

The Czech digital tax will apply to companies with a global turnover exceeding €750 million who are engaged in digital activities in the Czech Republic such as digital advertising. Draft legislation is expected by the end of May 2019 and the digital tax may be in place by 2020.