Changes in VAT from 1 January 2010
The VAT Act will change significantly in 2010. The changes will reflect the package of costsaving measures implemented in order to reduce the state budget deficit and also the implementation of changes in the Council Directive 2006/112/EC on the common system of value added tax and the new VAT Council Directives („EU VAT package“) to the Czech VAT Act.
Reduction of state budget deficits
The standard VAT rate will increase from 19% to 20% and the reduced VAT rate from 9% to 10% from 1 January 2010.