Category: By Country

Blog posts sorted by relevant country.

What are the per diem and travel expense allowability rates in the Czech Republic?


CZK 1 coin.

Please find below information regarding the Czech per diem as well as other travel expenses, correct as at the close of 2012 going into 2013, courtesy of Baker Tilly Czech Republic’s Head of Tax Lucia Rablova.

Per diem

The new aspect is the obligation to reduce meal allowances when a free meal was provided.

The minimum statutory rates of meal allowances in case of domestic business trips are shown in the following table:

Period of domestic business trip in calendar day Meal allowances according to the decree Obligatory reduction for 1 free meal
5 – 12 hours min. CZK 64 (max. CZK 76) up to 70%
12 – 18 hours min. CZK 96 (max. CZK 116) up to 35%
more than 18 hours min. CZK 151 (max. CZK 181) up to 25%

The minimum statutory rates of meal allowances in case of business trips abroad are shown in the following table:

Period of domestic business trip in calendar day Meal allowances Obligatory reduction for 1 free meal
less than 1 hour ——— ——–
5 – 12 hours 1/3 of basic rate up to 70%
12 – 18 hours 2/3 of basic rate up to 35%
more than 18 hours the basic rate up to 25%

Naturally, an employer may provide meal allowances to a higher amount, i.e. may set a higher rate of meal allowances or may claim reduction in lower than the statutory rate. From the corporate income tax point of view, the full amount of meal allowances is tax deductible. However, any difference between actually paid meal allowances and statutory provided maximum limits for employees in the public budgets sphere (see column II in table 1 – max. amount) is subject to personal income tax from dependent activities and is counted also for social and health insurance computations.

 

Mileage

–          CZK 3.70 per km and petrol usage reimbursement (price according to the receipt or average price according to the annually issued decree may be used)

Accommodation

–          by receipt

Should you have any further questions in respect of the above please do not hesitate to contact Lucia via this portal, using czechtax@quoracy.com, or via the http://www.bakertilly.cz website.

Best Advice Letter Intercepted


I intercepted today one of the best letters an accountant could possibly write to a troubled client. The client, whom I’ve remained Bill, wanted to go for a court appointed liquidator in East Europe assuming that some equity would apply as it does, at least in theory, in UK law. The accountant, whom I’ve renamed Ben, gave the client the benefit of his experience and we both agreed that I could share this with the Quoracy.com subscribers. By the way, the part about the liquidator driving the best car comes from a real case and in that particular case the liquidator is still driving it four years later and delaying the closure of the liquidation simply to prolong his free ride! There are many such cases, but that one took the biscuit. One other time I’ll tell you about what happened to a certain German tourist’s car in Belarus. But that’s another day. For now, enjoy and take note from Ben’s letter to Bill:

Dear Bill,

 

The Receiver will recover for himself first, including making a reserve for all future costs. He will ensure that he has money to run the liquidation including the wages of the employees he keeps on, security people, light and heat etc. He will drive the best of your cars, at the expense of the receivership, and sell it last.

 

Yes, the chargeholder may wait for years and have nothing in the end because there are preference creditors before him. The Receiver will sell the best stock first to satisfy his appetite and the most important creditors such as employees and taxes. This means he does not sell systematically nor is he in a hurry to finish if there is cash about. If he gets good prices then there may be money to distribute to the secured creditors. If he does not get good prices the banks will end up with the worst stock that will be given to them to take away or it will be sold by the weight to someone that gives the best price per ton. The Receiver will not work hard if there is little money at the end of the rainbow.

 

You need to estimate what the receiver will take and the costs to liquidate. This means the redundancy costs and costs to dispose of the outlets and stock which includes retaining some warehouse staff, bookkeeper, security upkeep costs (light and heat)  etc.  need to be considered in your schedule.

 

The receiver will keep his direct and indirect paymasters happy, ie the court and tax office. As employees rank higher than the tax office he will satisfy these as well.

 

The receiver will only hand out any surpluses, after the above, first to the secured creditors. What do you think will be left to distribute?

 

Regards

Ben

 
That’s quite an eye opener, isn’t it? Don’t let it get that far – if your business is starting to go down, get proper advice on time, from a reputable, international accounting or law firm.

UK Trade and Investment Initiatives to support business ventures to and from Poland


logo of UKTI
A message from UKTI

Martin Oxley sent this out for the Foreign and Commonwealth office and we are pleased to assist in its propagation.

Dear Quoracy.com subscribers,

Poland presents an attractive nearshore growth opportunity for Britain Plc. In line with the new UKTI strategy presented to government recently by Lord Green, Minister of State for Trade and Investment we are introducing a step change in the way UKTI supports British business growth.

We are taking a very proactive approach on behalf of government to provide a range of bespoke services to enable British SME’s to significantly enhance exports and also work with large corporations to win major overseas contracts and expedite their growth in market.

With our new Ambassador HMA Robin Barnett and the Embassy team we are engaging to support strong growth oriented business agenda in Poland.

With this in mind I am pleased to attach a brief outline of the services which UKTI has developed to support British business in Poland. I very much look forward to meeting you over the course of the coming weeks to discuss with you how we can assist you with your specific company needs.

I am very happy to visit you or alternatively you would be most welcome to visit us and I will provide you a tour of our excellent event facilities at the Embassy.

Kind regards

Martin Oxley

110715 EVR Expand your Business with UKTI Poland.pdf

Quoracy.com would also like to take this opportunity to congratulate our dear friend Martin Oxley on his recent new appointment to the FCO in Warsaw, and to wish him every success working with Her Majesty’s new Ambassador to Poland, His Excellency Robin Barnett. We wish you and your team many successes and a lot of fun.

Poland is Europe’s white goods leader


Front-loading washing machine
Could Poland become the new leader in monetising laundry? A "pralka", yesterday.

Poland’s production of household appliances is expected to grow some 5% this year. The country is expected to produce and export 15.5 million washing machines, dishwashers, refrigerators and cookers. Poland has already beaten Germany and is about to get ahead of ItalyDziennik Gazeta Prawna” reports.

The so called large household appliances made this year in Poland will be worth the record amount of PLN 3 billion, the newspaper underlines. A lot of it is owing to Samsung Electronics who purchased a washing machine and refrigerators manufacturing plant in Wronki from Amica and announced that it would invest nearly USD 170 million in the development of this plant. Samsung Electronics is also to transfer its production from other European plants to Wronki. The investments are underway.
“Dziennik Gazeta Prawna” found out that Samsung Electronics says it is possible that production in Poland will be expanded with manufacturing heating equipment like ovens, stoves and plates. There is a large demand for this kind of appliances in the EU. According to analysts, demand for heating equipment will remain at around 30% of total annual production, “Dziennik Gazeta Prawna” notes. (Source: gazeta.pl)

“Cyprus: a vehicle for international transactions and investments”


David James, English goalkeeper
Sorry, not quite that David James speaking here...

Conference

Cyprus: a vehicle for international transactions and investments”

Intercontinental Hotel,  Emilii Platter 49, Warsaw

16 June 2011, 8.00am – 11.00am
(Language:  English)

This event is aimed at introducing Cyprus companies as vehicles for international transactions and investments covering the key requirements applied by the authorities and the banking system in Cyprus and Poland.

The event is addressed to Owners, Chief Executives, Financial Executives and Board Members of companies with international perspectives.

Experienced professionals and speakers of Baker Tilly Poland and Baker Tilly Klitou of Cyprus will be presenting a range of topics, suggesting practical solutions and sharing their experience.  A Q&A session before the close of the event will give participants the opportunity to talk directly with our speakers in order to raise their queries or obtain additional information.

Programme:

8.00 – 8.35 am     –    Business breakfast

8.35 – 8.40 am     –    Welcome address

                                 David James, International Liaison Partner, Baker Tilly Poland

8.40 – 8.55 am     –    “Cyprus transactions: Polish taxation”

                                 Steven Foster, Baker Tilly Poland

8.55 – 9.10 am     –    “Cyprus: an attractive investment and business destination”

Marios Klitou, CEO of Baker Tilly Klitou

9.10 – 9.25 am     –    “IFRS  Regulations in Cyprus”

                                 Christodoulos Loulloupis, Director, Audit Services, Baker Tilly Klitou

9.25 – 9.40 am     –    “Tax in Cyprus and structuring ideas”

                                 Therapon Mafkas, Director, Tax Services, Baker Tilly Klitou

9.40 – 9.55 am     –    “Collective Investment Schemes

Chris Koutouroushis, General Manager, Bizserve Consultants Ltd

9.55 – 10.10 am   –    Presentation from a Cyprus bank on “International Banking in Cyprus”

10.10 – 10.25 am –    “Polish-Cypriot success stories – Enhancing investment opportunities”

David James, International Liaison Partner, Baker Tilly Poland

10.25 – 10.55 am –    Questions & Answers

11.00 am              –    Close of Conference

In order to obtain your free registration, please contact mjaniga@bakertillypoland.eu  by Wednesday, 8th June 2011. If demand exceeds space available, registration will be first come, first served.

We look forward to seeing you at the Conference!

Something to think about


image

I think I’ll let the map speak for itself. It was the main story in the weekend edition of Rzeczpospolita newspaper.