Údaje ze systému kontroly vozidel v rukou správce daně

In a recent judgment, the Supreme Administrative Court ("SAC") addressed the tax administrator's right to use the records of the Police of the Czech Republic on the movement of the taxpayer's motor vehicle (see HERE).

The reason for requesting data from the police was the tax administrator's doubts about the accuracy of the data in the logbook submitted by the tax subject (e.g. the first journey was recorded in the logbook before the vehicle was taken over from the dealer).

The police sent the tax authorities data from the Automatic Vehicle Control (AVC) system, which included: the registration number of the motor vehicle, the date and time of the passage, the location of the sensor, a black and white photograph of the registration number and a black and white photograph of the motor vehicle.

After verifying the data obtained from the police, the tax administrator concluded that they did not correspond to the logbook and thus rejected the taxpayer's claim for a VAT deduction on the purchase of the vehicle.

The taxpayer argued that the police were not entitled to collect data on vehicles for the purposes of tax proceedings at the request of the tax authorities. However, the SAC upheld the argument that the police collect the data in the ACV system primarily for the purpose of preventing threats to public order and security. According to the court, the police did not collect the records at the request of the tax administrator for the purposes of tax proceedings, but only provided the data to the tax administrator as information necessary for tax administration on the basis of the information obligation provided for in the Tax Code.

Thus, in principle, there is nothing preventing the tax administrator from using the data collected by the police in the ACV as an effective tool for checking the entries in the log books with potential effects not only on VAT but also on taxpayers' income taxes.

If you have any questions, please contact the authors of the article or the EY tax team you are working with.

Authors:

Jakub Tměj

Tomáš Stacho