Supreme Administrative Court to rule on decisive social security insurance case

The Supreme Administrative Court will be making a verdict on Thursday in a case that uncovered a serious flaw regarding the social security insurance law. At the centre of the dispute is the 2006 amendment to the law in question, which unintentionally removed a passage defining the basis of assessment for insurance premiums. The amount of insurance premiums was thus unclear for the first half of 2007. In current case, the Czech Social Security Administration is suing a software company that refused to pay their premium for the period. A vast number of other companies did pay their premiums during that time however, and are now demanding settlement. The outcome of the case will thus set a president for hundreds of similar disputes and could involve up to 100 billion crowns.