Course detail

International Taxation of Incomes

FP-UmzpPDAcad. year: 2025/2026

The course consolidates students’ knowledge of taxation in the area of income taxes. Its primary focus is on issues related to the international taxation of income. Within the course, students are introduced to the problem of international double taxation and to the instruments used to prevent or mitigate it. Partial attention is also devoted to the legislative framework at the level of the European Union.

Language of instruction

Czech

Number of ECTS credits

3

Mode of study

Not applicable.

Guarantor

doc. Ing. Mgr. Karel Brychta, Ph.D.

Department

Institute of Finances (ÚF)

Entry knowledge

Knowledge of issues in the taxation of the incomes of individuals and legal entities.

Rules for evaluation and completion of the course

Examination requirements: knowledge of the covered material and its practical application.

Exmamples and their solutions – max. 30 points (75 minutes)

  • solving numerical problems demonstrating familiarity with the subject matter and the ability to apply acquired knowledge in practice

  • the exam always includes one more comprehensive problem focused on determining the final tax liability of a tax resident earning foreign-source income

  • at least 50% of the total possible points must be obtained (i.e. 15 out of 30 points)

  • The examination is graded according to the ECTS grading scale.

 

Students with an Individual Study Plan (ISP)

The same conditions apply to students with an ISP. The examination date is determined in accordance with the terms specified in the ISP.

Aims

The main objective of the course is to ensure that students acquire not only theoretical knowledge of issues related to the international taxation of income, but also the ability to apply this knowledge in practice.

After completing the course, students will be able to:

  • understand the rules governing the taxation of income as set out in double taxation treaties and in the relevant Czech legislation;

  • be familiar with the obligations of tax subjects in connection with the international taxation of income in the Czech Republic;

  • identify the tax obligations of both Czech tax residents and non-residents and, in simpler cases, determine their final tax liability;

  • interpret and apply the basic rules of international income taxation contained in double taxation treaties and in the Czech Income Taxes Act;

  • propose and use tax optimization instruments within the framework of international income taxation.

Study aids

Not applicable.

Prerequisites and corequisites

Not applicable.

Basic literature

SOJKA, Vlastimil, Monika BARTOŠOVÁ, Pavel FEKAR, Jan MAŠEK, Matěj NEŠLEHA a Ivana VAŇOUSOVÁ. Mezinárodní zdanění příjmů: smlouvy o zamezení dvojího zdanění a zákon o daních z příjmů. 4. vyd. Praha: Wolters Kluwer, 2017. ISBN 978-80-7552-688-5. (CS)
Tomášek, Michal, Vladimír Týč, David Petrlík a kolektiv. Právo Evropské unie. 4. aktualizované vydání. Praha: Leges, 2025. 543 s. ISBN 978‑80‑7502‑763‑4. (CS)
VYŠKOVSKÁ, Magdaléna. Cizinci a daně: zdaňování všech druhů příjmů fyzických osob - cizích státních příslušníků v ČR : zaměstnání, podnikání, příjmy členů statutárních orgánů, pronájem, kapitálové příjmy, ostatní příjmy, sociální zabezpečení v EU. 6. vydání. Praha: Wolters Kluwer, 2022. ISBN 978-80-7676-126-1. (CS)
Zákon č. 280/2009 Sb., daňový řád, ve znění p. p. (CS)
Zákon č. 586/1992 Sb., o daních z příjmů, ve znění p. p. (CS)

Recommended reading

Nováková, Lenka, a Daniela Králová. Daň z příjmů fyzických osob v mezinárodním kontextu. 2. vydání. Praha: Wolters Kluwer ČR, 2024. 268 s. ISBN 978‑80‑7676‑809‑3. (CS)
OECD. Model Tax Convention on Income and on Capital 2017 (Full Version). Paris: OECD Publishing, 2019. DOI: https://doi.org/10.1787/g2g972ee-en. (oecd.org) (EN)

Elearning

eLearning: currently opened course

Classification of course in study plans

  • Programme BAK-UAD Bachelor's 3 year of study, summer semester, compulsory, profile core courses

Type of course unit

 

Lecture

20 hours, optionally

Teacher / Lecturer

doc. Ing. Mgr. Karel Brychta, Ph.D.

Syllabus

  1. International taxation of income – general introduction (basic concepts, legislative framework, EU-specific aspects, entities involved in international income taxation, tax avoidance vs. tax evasion, BEPS).
  2. Double taxation treaties (importance, objectives, model conventions, structure of treaties, scope of application, principle of conditional application precedence).
  3. Tax residence and its determination; tax residents and the taxation of their income (general principles); tax non-residents and the taxation of their income (general principles); currency conversion.
  4. Taxation of income of tax non-residents from sources in the Czech Republic (withholding agent obligations, taxpayer obligations, options for tax optimization of Czech tax non-residents compared to Czech tax residents).
  5. Rules laid down in double taxation treaties – income from immovable property, capital gains, income from employment.
  6. Rules laid down in double taxation treaties – directors’ fees, income of publicly performing artists and sportsmen, pensions.
  7. Rules laid down in double taxation treaties – taxation of income attributable to a permanent establishment.
  8. Rules laid down in double taxation treaties – dividends, interest, and royalties.
  9. Taxation of income of tax residents – methods for the elimination of double taxation (principles, description, Section 38f of the Income Taxes Act, incorporation of methods in double taxation treaties).
  10. Taxation of income of tax residents – application of methods for the elimination of double taxation, tax optimization for tax residents.

Self-study

20 hours, optionally

Teacher / Lecturer

doc. Ing. Mgr. Karel Brychta, Ph.D.

Individual preparation for an ending of the course

36 hours, optionally

Teacher / Lecturer

doc. Ing. Mgr. Karel Brychta, Ph.D.

Elearning

eLearning: currently opened course