GFŘ vydalo očekávanou Informaci k uplatňování DPH u nemovitých věcí

The General Financial Directorate has published on its website the long-awaited Information regarding the application of VAT on real estate effective from 1 July 2025, along with an annex that addresses the rules for calculating floor areas. The Information itself summarizes the changes contained in the amendment to the VAT Act and provides a detailed description of the rules for applying VAT to real estate in light of current case law.

We have already informed you about the main changes in our Tax News for November 2025. The final version of the Information does not differ significantly from the commented draft.

The changes affect a wide range of real estate transactions, for example:

• Shortening of the time tests for exempt deliveries of buildings,
• A completely new definition of substantial change,
• Adjustment of the rules for taxing building plot,
• Significant changes to the application of VAT rates for certain construction or assembly works,
• And several other rules.

Although the methodology is quite comprehensive, some areas are only addressed marginally or are entirely overlooked—such as the very common situation of land that can only be partially developed, or the question of whether and how the buyer's intention should be considered when selling building plot.

We would be happy to discuss with you how the changes and their explanations in the aforementioned new Information may directly impact your situation.

Authors:

David Kužela

Nikola Kratochvílová

Anna Běhounková