Tax and accounting regulations

Summary of Requirements for an S.r.o Limited Liability Company:

General Information
Type of Company S.r.o – Limited Liability Company
Timescale to incorporate 2 weeks
Corporate Taxation 19%
Double Tax Treaty Access: Yes
Directors
Minimum No. Required 1
Local Director Required No
Publicly accessible information Yes, the names of the directors do appear on public record
Location of Meetings Anywhere
Shareholders
Minimum No. Required 1, can be a corporate shareholder
Publicly accessible information No, the names of shareholders do not appear on public record
Location of Meetings Anywhere
Company Secretary
Required No
Local Secretary Required N/A
Registered Office Required Yes
Additional Information A Statutory Representative is required to represent the company. This must be a natural person. Must be appointed in a General Meeting of the company
Share Capital
Standard Currency Czech Crown (CZK)
Standard Authorised CZK 200,000 / €7,500.00
Minimum Paid Up Capital CZK 100,000 / Approx. €3,500.00.
Additional Information The company is required to have a reserve fund (this is principally a bookkeeping entry):

 

  • 1st Year – 10% of net profit
  • Year 2 onwards – 5% thereafter until the reserve reaches 10% of the companies registered capital
Accounting & Compliance
Requirements to prepare Accounts Yes
Requirement for Audit Audit is required if at least two of the following criteria are met:

 

  • Balance sheet exceeds CZK 40 million (€1.4 million)
  • Net turnover exceeds CZK 80 million (€2.8 million)
  • The number of employees exceeds 50
Local Auditor Required Yes, if Audit is required
Requirement to File Accounts Yes
Requirement to file Annual Return Yes
Additional Information
VAT 20%.
Bank Account Opening A bank account can be opened without the need for presence

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Register a The Czech Republic company.
Open a The Czech Republic bank account.

  Resources:

The Tier 1 Investor Visa: are the UK government checking candidates' source of wealth? Evidently not..

The Tier 1 Investor Visa: are the UK government checking candidates' source of wealth? Evidently not..

One of many legal disputes resulting from the recent infamous Kazakhstan BTA bank fraud case has shed new light on a little-known immigration scheme colloquially known as the golden visa scheme and officially called a Tier 1 Investor visa in the UK; the scheme grants investors residency in exchange for spending £2m in UK bonds or shares through a bank, with applicants eligible for to remain indefinitely, with full citizenship after five years.

EU release list of tax havens & blacklisted jurisdictions for the first time

EU release list of tax havens & blacklisted jurisdictions for the first time

In an attempt to recover the approximate 600B euros lost within various EU countries to tax evasion schemes each year; the European Union has released its first official blacklist naming 17 jurisdictions that have failed to meet international standards of implementing sufficient regulations and transparency measures.

A beginners guide to filing capital statements in Cyprus

A beginners guide to filing capital statements in Cyprus

This article details a beginners guide to capital statements; what to include in them, what the figures mean and how to understand and interpret them; avoiding common pitfalls many individuals experience along the way with filing their own.. Capital statements (also referred to as wealth statements) are similar to profit & loss sheets for a company except capital statements are typically used to measure and record an individual’s finances using an official document accumulated on differing dates.

The Cyprus Passport by Investment scheme: at who's expense?

The Cyprus Passport by Investment scheme: at who's expense?

Cyprus Minister of Finance Mr Harris Georgiades released a statement condemning critics of the Cyprus passport by investment programme that has seen raise over €4 billion since the launch of the scheme in 2013 which was implemented to attract foreign investment to mitigate damage in light of the banking crisis.

Cyprus Variable Capital Companies: AIFs

Cyprus Variable Capital Companies: AIFs

There are two types of Variable Capital Companies in Cyprus; UCITS and AIFS. Read on to find out more about Alternative Investment Funds.

Cyprus Variable Capital Companies: Open-Type UCITS

Cyprus Variable Capital Companies: Open-Type UCITS

There are two types of VCCs in Cyprus; UCITS which we will discuss in the following article, and AIFS.

 

Protection of Nominee Directors from IRD claims for Cyprus client companies

Legislation re Cyprus Tax Residency:

Cyprus Company Law: Responsibility of Directors for the non-payment of taxes

Cyprus Company Law: Responsibility of Directors for the non-payment of taxes

A Company Director, in a company incorporated under the laws of the Republic of Cyprus, may be found liable by the Inland Revenue or Customs & Excise with regarding tax related issues. As per the legislation, the Inland Revenue or Customs & Excise may personally prosecute the Company Directors who are involved in any taxation offence(s) or related financial matters.