Why did this happen?

If you have a Czech VAT number and you've received a notification from the Czech Financial Administration (Finanční správa České republiky), it can feel worrying — but tax audits and compliance checks are a normal part of the tax system.

This article explains:

• why audits happen
• what the tax authorities are usually checking
• what you should do next
• how hellotax can support you — and what we cannot do

⚠️ Important: This article is for guidance only and is not tax or legal advice. In some situations, you may need to speak with your accountant or a qualified tax professional.

Why have I been selected for an audit?

Being selected for an audit does not automatically mean you have done something wrong.

The Czech Financial Administration may initiate a tax audit (daňová kontrola) or request additional information for several reasons.

✔ Routine or risk-based checks

The Czech tax authorities carry out checks to ensure VAT is declared and paid correctly.

Businesses involved in cross-border e-commerce may be reviewed as part of normal compliance monitoring.

✔ Data mismatches

The tax authorities may identify differences between:

• your VAT returns and marketplace reports (Amazon, eBay, etc.)
• VAT returns and Czech VAT Control Statements (Kontrolní hlášení)
• EC Sales Lists (Souhrnné hlášení) and reported intra-EU transactions
• OSS declarations and underlying sales records
• customs import data and declared VAT transactions

These differences do not always mean an error has occurred, but they may result in requests for clarification.

✔ Late filings or payments

Repeated late VAT returns, unpaid VAT liabilities or corrections to previously submitted returns may attract additional attention.

✔ Rapid growth or unusual activity

Significant changes, such as increased turnover, new warehouse locations, changes in supply chains or unusually large VAT refund claims, may lead to further checks.

✔ Missing or incomplete records

If previous requests for documents or explanations have not been answered, the tax authorities may take further compliance action.

What are the tax authorities checking?

The Czech Financial Administration may want to confirm that:

• your reported sales and VAT amounts are accurate
• the correct Czech VAT rates have been applied
• intra-EU transactions have been reported correctly
• VAT Control Statements and EC Sales Lists are consistent with relevant records
• invoices and accounting documentation meet Czech requirements
• OSS transactions have been handled correctly, where applicable
• import VAT and input VAT deductions are supported by appropriate evidence
• supporting documents and transaction records are available

📌 The authorities will usually identify the tax periods or transactions being reviewed. The scope depends on the type of procedure and may be expanded where legally permitted.

What should I do if I receive an audit notification?

1. Read the notification carefully. Check whether it is a request for clarification, a formal tax audit notification or another type of tax procedure.
2. Check the deadline. Czech tax authority communications may require a response within a specified period.
3. Contact hellotax promptly. Send us the notification and any accompanying documents so we can review whether it relates to VAT services we provide.
4. Gather supporting records. These may include invoices, marketplace reports, transaction exports, customs documentation and VAT payment confirmations.
5. Seek professional advice where necessary. A formal audit or disputed tax assessment may require assistance from a Czech tax advisor or authorised representative.

⚠️ Do not ignore a notification, even if you believe your VAT returns were filed correctly.

How hellotax can support you

Where the request relates to VAT services provided by hellotax, we can help by:

• Reviewing the notification to identify the relevant VAT periods and reporting requirements
• Providing copies of VAT returns and reports prepared through our services
• Helping identify discrepancies between submitted returns and available transaction data
• Explaining the VAT reporting information held in your hellotax account
• Coordinating with the relevant accounting team where additional clarification is needed

What hellotax cannot do

Unless expressly agreed as part of a separate service, hellotax does not provide:

• Legal representation in tax disputes
• Formal tax audit defence
• Representation before the authorities beyond an agreed authorisation or service scope
• Guarantees that an audit will be closed without adjustments or penalties

Additional accounting or legal support may be required depending on the nature of the investigation.

What happens after the audit?

The outcome depends on the procedure and the findings.

The Czech Financial Administration may:

• Accept the information provided without further action
• Request additional documents or explanations
• Identify corrections required to previously reported VAT
• Assess additional VAT, interest or penalties where applicable
• Continue with further examination or enforcement procedures

Where an assessment is disputed, statutory review or appeal procedures may be available.

Key Takeaways

If you receive a notification from the Czech Financial Administration:

• Do not assume that an audit means you have made an error
• Check the type of notification and response deadline
• Keep accurate VAT and transaction records
• Contact hellotax promptly if the request concerns services we provide
• Seek qualified professional advice for formal audits or disputes

The most important thing is to respond promptly and provide accurate information. Ignoring an official request can make a manageable issue more serious.