Abstract
Minimum necessary costs, often referred to as essential costs, are currently a highly debated topic in professional circles. The Supreme Administrative Court, in its resolution of 6 April 2022, No. 8 Afs 296/2020-106, concluded that there are contradictions in case law concerning the methods of tax assessment and the related allocation of essential costs.
This article aims to propose an optimal solution to the current jurisprudential contradiction while preserving the idea of essential costs. In order to achieve this goal, an analysis of the Supreme Administrative Court's case law on essential costs and a comparison of the approaches of the various chambers of the Supreme Administrative Court to the issue is made.