It concerns the incorporation of a European directive from 2019. Originally, the legislation was supposed to be incorporated into Czech legislation by 2021, but the Czech Republic requested a one-year delay. However, another one is no longer possible.
The approval deadline of July 17, 2022 is thus currently extended by 21 months. Minister for Legislation and Chairman of the Legislative Council of the Government Michal Šalomoun (Pirates) confirmed to Seznam Zprávám that the EU authorities have already sent a so-called “formal notice”. This is the first stage of the proceedings leading to a penalty.
“This is followed by a reasoned opinion, and only then can the European Commission file a lawsuit against the Czech Republic. If it were to be filed, according to preliminary estimates, the Czech Republic would face a fine of approximately 115 million crowns,” Minister Šalomoun describes possible sanctions.
“In any case, there is nothing to wait for and we should complete the legislative process as quickly as possible,” adds the minister.
The amendment of the legal rules for debt relief has been in the Chamber of Deputies since last summer. It currently went through its second reading in mid-April. The third reading could take place in early May.
Politicians cannot agree, in particular, on whether debtors should be divided into entrepreneurs and consumers, while entrepreneurs would be allowed to pay off their debts in three years, and consumers could have a repayment period of up to five years.
The original proposal of the Ministry of Justice envisages equal access to three years of debt relief for entrepreneurs and consumers. Opposition members of the ANO movement, however, come with an amendment that adheres more strictly to European directives and introduces a three-year debt relief only for entrepreneurs.
Tags: Czech Republic faces fine hundreds millions crowns European Union
