Tax system under fire from watchdog

Frequent changes to taxes for individuals have led to a more complicated system both for payers and the Czech administration, the country’s main watchdog, the Supreme Audit Office, has announced in a report. It said that changes were often made with the finance ministry unaware of the precise impact they would have on the overall budget.

The watchdog surveyed the changes between 2012 and 2015. It added that some changes, such as obligatory electronic filing of tax returns for some payers, had led to unlawful fines because tax offices could not contact payers if their declaration was faulty and decided just to penalize them.