The state announced a harsh plan for the Czech Republic. We will check what you buy abroad. be careful

The Czech customer will soon be under close scrutiny. The authorities became interested in what someone buys abroad, as it turned out that certain irregularities can happen there. And instead of focusing on those who carry them out, it will understandably be taken in full swing again and absolutely everyone will be checked.

Payments under scrutiny

It all looks relatively innocent, as the amendment to the law with the aim of transposing the European directive into Czech law seems to affect only payment service providers, such as various card companies, but now also other services, such as Revolut or PayPal.

However, it is about what the new duty is about. These companies will now have to closely monitor the transactions of Czech customers going abroad. So whatever you buy abroad, be it in a Polish or American store, will be recorded and then handed over to the financial administration.

All this should contribute to greater control over the value added tax flows, where the greatest amount of financial fraud still occurs, however much better than before. However, the European Union has this as one of its goals. As we have already seen many times, this institution does not mind at all if it deprives ordinary citizens of their privacy, on the contrary, it seems to be a welcome side effect of many of its regulations.

A few negative effects

But how will it all go? It is important to note that, starting next year, payment service providers will have to register payments from other member states to Czech accounts and outgoing payments of Czech customers to accounts abroad. A specific customer will then be reported to the financial administration when he exceeds the limit of 25 cross-border payments in one quarter. If you make twenty-five purchases in a foreign store in three months, you can be sure that the authorities will look at you to see if everything is in order.

Read also: Czechs are in trouble. The tax office started checking their Facebook and Instagram. There are huge fines

It might seem that people will lose at most a little of their privacy, which is being nibbled at from all sides, but in reality it will have another negative effect. The new obligation will cost payment service providers huge sums. There is talk of up to 100 million crowns, which will of course end up being passed on to customers. The state will also have more administration, which will again be paid for by the taxpayer, albeit indirectly.

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