Czech Tax Heaven for Sportsmen

Result code in IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F00216224%3A14220%2F18%3A00104027" target="_blank" >RIV/00216224:14220/18:00104027 - isvavai.cz</a>

Result on the web

<a href="https://drive.google.com/file/d/0B3pMY5FCMiwrR0lpcEh1dHF4czV1R1dQZmY2X20wQlBjRmt3/view" target="_blank" >https://drive.google.com/file/d/0B3pMY5FCMiwrR0lpcEh1dHF4czV1R1dQZmY2X20wQlBjRmt3/view</a>

DOI - Digital Object Identifier

<a href="http://dx.doi.org/10.15290/oolscprepi.2018.53" target="_blank" >10.15290/oolscprepi.2018.53</a>

Result language

angličtina

Original language name

Czech Tax Heaven for Sportsmen

Original language description

There is no specific legal regulation of professional athletes in the Czech Republic. In practice, both individual players and team players are mostly self-employment. In case of team players, compared to the legal regulation in other European countries, it is quite unique. This article deals with the legal regulation of professional team players, especially in the area of taxation. It works with the hypothesis, stated in two judgments of the Supreme Administrative Court, that team players should tax their incomes by the personal incomes tax as self-employed persons, i.e. businessmen. In 2011, the Supreme Administrative Court stated that team players are not employees of their club and they should pay taxes as from independent activities. The Czech Financial Administration followed this decision and taxed these sportsmen as so called independent professions. The reason why this issue was reopened by the Supreme Administrative Court was the case of football player David Lafata, who got a business license (he became a businessman) as a footballer and claimed that playing football is not an independent profession, but real business. In both cases, the personal income tax base is created as the difference between income and expenditure. As mostly there are no real high expenditures, Czech legal regulation allows the lump sum expenses: in case of independent profession 40 %, but for business (in this very case) 60 %. The aim of the paper is to confirm or disprove the hypothesis stated above, analyzing existing legal regulation and case law, and offer solutions de lege ferenda.

Czech name

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Czech description

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Type

D - Article in proceedings

CEP classification

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OECD FORD branch

50501 - Law

Project

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Continuities

S - Specificky vyzkum na vysokych skolach

Publication year

2018

Confidentiality

S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Article name in the collection

Optimization of Organization and Legal Solutions concerning Public Revenues and Expenditures in Public Interest: Conference Proceedings

ISBN

9788365696083

ISSN

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e-ISSN

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Number of pages

10

Pages from-to

719-728

Publisher name

Temida 2, Faculty of Law, University of Bialystok

Place of publication

Bialystok - Vilnius

Event location

Vilnius

Event date

Jan 1, 2017

Type of event by nationality

WRD - Celosvětová akce

UT code for WoS article

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