The Tax Effects of the Family Business Succession

Ensure the continuity of the family business requires a solution of the succession question in the leadership or the transfer of the company. The succession issue affects many factors. The paper will be focused on the issue of the tax effects of the family business succession. In 2014, there was a significant change in legislation in the Czech Republic, entered into force the new civil code, which has done a fundamental change in the area of income taxes, inheritance and gift taxes. The main aim of the paper is to identify tax effects of the family business succession, transition of ownership and leadership of family business from the perspective of current legislation. The analysis and comparison methods were used for the purpose of the research. The research findings show a significant impact of the new legislation on the taxation of family business succession.