Final Word from Wednesday, February 27, 2013

The VAT crunch at the end of last year was easy to understand: If a one-point increase to 15% and 21% wasn't passed in time, a single 17.5% rate would automatically kick in. The crunch this year regarding the new civil code is more difficult to conceptualize, because it's a legal issue involving some 100 other laws and regulations. On one level, it's a political battle of ODS (which says it want the code to take effect as planned next year) vs. a budding coalition of TOP 09 and ČSSD (both of which want a delay). On another level, it's a competitive battle, with ČSOB pushing for a postponement and Komerční banka saying that this would benefit mainly its rivals. Ex-Justice Min. Kamil Čermák simplified it and put it into terms that almost everyone can understand. He said on OVM that if the civil code takes effect, so will the law on corporations that completely eliminates bearer shares. Let's not be so gullible, he said: Many of those pushing to delay the civil code don't want this to ever happen. In other words, it's all about money, as always.[Czech Republic civic Czech TV Television Otázky Václav Moravce]

Glossary of difficult words

crunch - a crucial point or situation, typically one at which a decision with important consequences must be made;

to kick in - to go into effect; to become activated;

budding - rising, in the making;

gullible - easily persuaded to believe something;

OVM - see the 13:38 (1:38pm) mark.


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