Publication details
Daňové aspekty alternativního řešení sporů v mezinárodním obchodě
| Title in English | Tax Impacts Of Alternative Dispute Resolution In International Trade |
|---|---|
| Authors | |
| Year of publication | 2017 |
| Type | Article in Periodical |
| Magazine / Source | Obchodní právo |
| MU Faculty or unit | |
| Citation | |
| Web | http://www.oppravo.cz/ |
| Field | Law sciences |
| Keywords | Alternative dispute resolution;Tax Impacts;Income Tax Issues;VAT Issues;International Trade |
| Description | The article is aimed on tax consequences of Alternative dispute resolutions in International trade, more precisely amicable settlement. While legal consequences are well known to contractual parties, tax impacts are often not considered at all. The article therefore discusses tax issues of varies amicable settlement types. The article consists of two main parts. First one deals with income tax impacts, which are determined by national legal regulation. The second one follows up with value added tax (further as VAT) regulation which is stemming from harmonized European legal framework. Both taxes pursue different goals and therefore the issues discussed in both areas vary. The latter part considers also the consequences in customs regulation that are closely related to VAT legislation. Such issues are typical for international trade of goods with third, non-EU, countries, i.e. import or export of goods. In final conclusion it is presented that while income tax impacts are straightforward and should not cause many difficulties, in the field of VAT, there might arise some serious procedural issues. Therefore it is recommended to contractual parties to include to amicable settlements/agreements standard legal indemnity institutes of obligation law in order to cover the potential risks as they are typically not subject to VAT. |