Judicature by the Constitutional Court Applicable to Malice in Law
The Constitutional Court ruled that although tax law did not use the term “malice in law”, this did not mean that malice in law or circumvention of law did not occur.
The case in question involved a family that established an association to support and develop sport, cultural and artistic activities of its members, better their education and protect the environment and animals. However, the association in fact funded common needs and interests of its members instead; no other use of funds was proven.
The court considered the following situation to constitute malice in law: the only members of the association were relatives who covered otherwise non-tax costs for their own needs via the association while such costs are not generally tax deductible. Therefore, the funds provided to the association could not have been deemed to constitute a “tax-deductible donation” pursuant to Section 15, subsection 8 of the Income Tax Act.
Other articles
Helena Navrátilová on Three Decades of the Advent Concerts of Good Will
KŠB partner Helena Navrátilová was recently interviewed on S dobrou vůlí, the podcast of the Committee of Good Will – Olga Havel Foundation. Speaking with editor Veronika Širc, Helena talked about the origins and history of the Advent Concerts of Good Will, which KŠB has been organizing for over thirty years.
KŠB advises LIPOELASTIC founders on the sale of LIPOELASTIC Group
KŠB, in collaboration with investment advisers from the Roklen Group, advised LIPOELASTIC Group founders Alena and Tomáš Hradil on their exit from the group, which they had built up over almost twenty-five years.
Chemistry Brings People Together: KŠB at the 2026 Evening of Czech Chemistry
Czech chemistry and the chemical industry are built on innovation, responsibility and the people who drive the field forward. On Thursday, 22 October 2026, leading figures from the field and industry representatives came together at the Grand Hotel International Prague for the Czech Chemical Industry Association’s annual Evening of Czech Chemistry.
