After 1989, Czechoslovakia began to realize the importance of building a market economy, which was linked to the need for involvement of foreign investors. A major role in attracting foreign capital was played by contract that guaranteed aid for and protection of investments. These contracts are on the one hand a shield against devaluation of investments due to action or non-action of state institutions, but also have a marked impact on the state budget – whether directly or indirectly, which is often forgotten when formulating specific arrangements. Institute of investment incentives is not possible to understand unilaterally, but must take into account not only the positive but also negative effects on state finances. The factor of national debt in the case of investment incentives has clearly been overlooked. Two opinions stand side by side – to support foreign investors to the maximum with all impacts or not to do so. At a time when the Czech Republic finds itself at the beginning of the introduction of necessary economic reforms, one needs to ask this question and reflect on the profitability of foreign investment and its contribution to the state economy and state budget.
Doc. JUDr. Hana Marková, CSc., assistant professor (docent) of Financial Law and Financial Sciences at the Faculty of Law, Charles University in Prague. Vice-dean of the faculty. She is dealing with teaching and research work. Area of specialization: budgetary law, tax law and fi nancial performance of local governments. To these issues has also published numerous articles in professional journals.
Mgr. Miroslava Zajíčková Ph.D. candidate at the department of Financial Law and Financial Science at the Faculty of Law, Charles University in Prague. Area of specialization: tax law, the budgetary law, especially in the context of EU legislation, as well as studies of tax systems of member states of the European Union and their comparison. Since 2009 is a principal investigator of the grant GAUK No. 9815/2009 entitled “The tax base in selected countries of the European Union”.