Pracovní návrhy interpretací NÚR: Co přinášejí a proč je sledovat?

The National Accounting Council is preparing several new interpretations that address practical issues faced by accounting entities today. These drafts aim to fill gaps where Czech legislation is silent or ambiguous.

What are the main topics of the drafts?

Three proposals focus on specific areas: reporting of cryptocurrencies, emission allowances, and reporting for partners associated in a partnership. Another two address issues related to company combinations, clarifying the opening balance sheet and the impact of provisions, adjustments, and deferred tax on the valuation of financial investments during company combinations.

Significant attention is given to revenues, a topic that Czech legislation unfortunately does not define in practice. The new interpretation specifies in detail the moment of revenue recognition and its measurement. Separately, revenues from longer-term contracts are addressed.

Finally, financial investments. Two drafts deal with a more detailed elaboration of the valuation of securities and equity method investments, as well as exchange rate differences related to these securities and shares.

Although interpretations, once approved, are not legally binding, they represent an expert opinion that serves as an important guideline for accounting entities, especially where Czech regulations lack clear rules.

Why should you care?

The interpretations address gaps that Czech accounting legislation has yet to fill. The final recodification of the Accounting Act has not yet been submitted, so interpretations remain the only reference point for modern and accurate reporting in line with the principle of true and fair view.

We will monitor the process and keep you informed about the final versions of the interpretations.

Authors:

Katerina Dedková

Aneta Batelková