The Czech Republic’s announcement to raise the threshold for VAT registration aligns with the increases mentioned in the amended EU VAT Directive. The Directive aims to raise the threshold to EUR 85 000 by 2025, yet the Czech request to increase it by 2023 has already received approval at the EU level.   Taxpayers with annual revenues less than CZK 2 million may apply for cancellation of their VAT registration due to the increased threshold. They can begin applying for it before 1 January 2023, when the law is expected to enter into force.