SAC rules rate of interest paid on delayed VAT refunds did not follow EU directive

The Supreme Administrative Court of the Czech Republic issued a decision on 16 July 2020 that impacts the amount of interest that should have been paid to taxpayers where payments of VAT refunds were unreasonably delayed by the tax authorities. In its decision, the Court held that the interest rate paid by the tax authorities was not in line with EU law.

Source:

• Deloitte
• KPMG – Supreme Administrative court Rules on Interest Rate Applicable to VAT Refunds