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Impostos a la República Txeca

Tax Rates

Consumption Taxes

Nature of the Tax
Value-Added tax (VAT)
Tax Rate
21%
Reduced Tax Rate
A 15% rate applies to foodstuffs (excluding essential child nutrition and gluten-free food); non-alcoholic beverages; take away food; water supplies; medical equipment for disabled persons; children's car seats; some domestic passenger transport; admission to cultural events, shows and amusement parks; writers and composers; social housing; renovation and repair of private dwellings; cleaning of private households; some agricultural supplies; hotel accommodation; admission to sporting events; use of sporting facilities; social services; supplies to undertaker and cremation services; medical and dental care; domestic care services; firewood; some pharmaceuticals; some domestic waste collection and street cleaning; treatment of waste and wastewater; food provided in restaurants and cafes; cut flowers and plants for decorative use; writers, composers and food production.

A 10% rate applies to public transport; heating; books and magazines subject to certain conditions; medications; medications for veterinary use; necessary baby food. Following the COVID-19 pandemic, the 10% rate also applies to: restaurant and catering services, including serving draft beer; household cleaning services; bicycle repairs, footwear and clothing repairs; children, senior and disabled home care; hairdresser and barber services; drinking water supplied through a pipe; water distribution and treatment of sewage; e-books; accommodation services; admission charges to cultural and sport events; services of fitness centers; surface ski lifts; services of saunas and baths.

A 0% rate applies to exports, intra-community supplies, international transportation, transport and services directly related to the importation or exportation of goods.

Other Consumption Taxes
Tobacco, oil productions, and alcohol produced in or imported to the Czech Republic are all subject to excise taxes, which are applied according to the type and the quantities of products. Energy tax on electricity, natural and other gases, and solid fuels is levied on energy suppliers and distributors.
A road tax is payable annually on all vehicles used for commercial purposes (rates vary depending on engine capacity and vehicle size).
 
Find out more about Taxes and Accounting in the Czech Republic on GlobalTrade.net, the Directory for International Trade Service Providers.
 

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Corporate Taxes

Company Tax
19%
Tax Rate For Foreign Companies
Czech resident companies are taxed on their worldwide income, while non-resident companies are required to pay corporate taxes only on income sourced in the Czech Republic.
Foreign and domestic companies are subject to the same tax treatment. However, foreign-sourced dividend income forms a separate tax base and is taxed at a lower rate of 15% and may be conditionally exempt.
Capital Gains Taxation
Capital gains are taxed at the normal corporate income tax rate. Capital gains on the sale of shares and participations in EU/EEA resident companies are exempt from tax if conditions similar to those required to qualify for the dividend exemption are satisfied (10% ownership for 12 uninterrupted months minimum). EU/EEA resident companies that invest in Czech companies can benefit from this exemption if they fulfil the same criteria.

Capital gains obtained by non-resident companies of the EU/EEA or Czech companies investing outside the EU/EEA may be exempt from tax under the following conditions: the non-resident company is a tax resident in a third country with which the Czech Republic has signed a tax treaty; it satisfies the conditions for dividend exemption (10% holding for an uninterrupted period of 12 months) and is subject to a tax in the country of origin comparable to the Czech corporate tax at a minimum rate of 12%.

Main Allowable Deductions and Tax Credits
Expenses incurred to obtain, secure or maintain taxable income are generally deductible, such as amortisation of tangible and intangible assets, equipment and services purchased, business travel expenses, salaries and social security contributions. The start-up costs are fully deductible while the goodwill resulting from the acquisition of a new company can be amortised over 180 months. Goodwill resulting from a merger is not deductible. Taxes paid are generally deductible (except for corporate income tax).

Charitable donations over CZK 2,000 may be deductible up to 10% of the tax base. Accrued interest under the generally accepted Czech accounting principles is in most cases tax-deductible, as are contractual fines and remuneration paid to members of the statutory bodies of a company. Payments for travel expenses and meal allowances for employees are in general deductible.

Tax losses can be carried forward up to five years (unless there is a significant change in the company's ownership structure). For taxable periods ending after 30 June 2020, tax losses may also be carried back for 2 years (capped at CZK 30 million).

Investment incentives are available for the manufacturing sector and the technology and data centres in the form of exemptions from property tax or corporate income tax, financial support for job creation and employee training. Research and development expenses give rise to a 100% tax allowance. An additional 10% tax credit is granted to companies whose research and development expenses in a tax year exceed those of the previous tax year.

Other Corporate Taxes
Companies are subject to a 15% to 35% tax on income paid to a non-resident for technical services, real estate tax (varies according to the area, location, and usage of the land or buildings), environmental tax and road tax.

The employer contributes 9% of the gross salary of the employee to the health insurance fund and 24.8% for contributions to the social security fund, for a total of 33.8%.

An exit tax is levied on the relocation of assets without a change of ownership between a Czech company and its foreign permanent establishment or when a Czech tax resident moves its residency abroad. The rate is the same as that of corporate income tax (currently 19%).

The transfer tax (imposed at a rate of 4% of the transaction price or the officially appraised value of the real estate transferred, whichever is higher) has been abolished with retroactive effect, hence it does not apply to real estate whose transfer was registered in the cadastral register on or after 1 December 2019.

No stamp duties are levied in the country.

Other Domestic Resources
Financial Administration of the Czech Republic
Consult Doing Business Website, to obtain a summary of the taxes and mandatory contributions.

Country Comparison For Corporate Taxation

  Czech Republic Eastern Europe & Central Asia United States Germany
Number of Payments of Taxes per Year 8.0 13.9 10.6 9.0
Time Taken For Administrative Formalities (Hours) 230.0 226.2 175.0 218.0
Total Share of Taxes (% of Profit) 46.1 36.5 36.6 48.8

Source: Doing Business, Latest available data.

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Individual Taxes

Tax Rate

Personal Income Tax 2021
Gross income up to the social security payment cap (CZK 1,701,168 in 2021) 15%
Gross income exceeding CZK 1,701,168 23%
"Solidarity surcharge" Abolished from 2021
Special tax base for selected types of non-Czech investment income (e.g. dividends and interest from abroad) 15%
Allowable Deductions and Tax Credits
Necessary expenses incurred in earning income (other than employment income) are generally deductible.

Non-residents should have at least 90% of worldwide income from Czech sources to utilise the available deductions.

An employee's contribution to an old-age pension, a taxpayer's annual exemption, exemptions for non-working wife, disability allowance, high school/university students, etc. are among the available deductions. Tax deductions are granted for Czech mortgage interest (up to up to CZK 300,000 until 2021, CZK 150,000 thereafter), life and supplementary pension insurance (up to CZK 24,000 each), as well as for gifts. Donations to certain organizations can be deducted up to 15% of personal income tax base when the donation is of at least CZK 1,000 or 2% of personal income tax base (increased to 30% for 2020 and 2021 amid the COVID-19 pandemic).
Several tax credits are available, including: general personal tax credit (CZK 27,840), dependent spouse (CZK 24,840), child tax credit (CZK 15,204 for the first, CZK 19,404 for the second, and CZK 24,204 for the third and other following dependent child, under certain conditions; if the total tax is lower than the respective child credit, the taxpayer will receive a special tax bonus equal to the difference between the child allowances and one’s tax liability, without any cap from 2021), disability tax credit (CZK 2,520, CZK 5,040, or CZK 16,140 depending on the severity of disability), student tax credit (CZK 4,020 - up to 26 year-olds).

For certain categories of income, a fixed percentage of gross income may be claimed as a deduction (e.g. lump-sum deductions of 80% for agricultural income or craft activities, 60% for a limited number of trading and entrepreneurial activities, 40% for activities pursuant to the special statutory provision, 30% for renting a property). However, the lump-sum expense deductions are applicable only up to the maximum amount of the respective percentage out of CZK 2 million (i.e. capped at CZK 1,600,000, CZK 1,200,000, CZK 800,000, or CZK 600,000, respectively).

Special Expatriate Tax Regime
Residents are liable for tax on their worldwide income while non-residents must pay tax only on income sourced in the Czech Republic. There is no special expatriate regime in Czech Republic. 

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Double Taxation Treaties

Countries With Whom a Double Taxation Treaty Have Been Signed
List of Treaties on Income and on Capital
Withholding Taxes
Dividends, interest and royalties are each subject to 15/35% tax rates, where the upper margin applies to jurisdictions that have not concluded a tax treaty or an agreement for the exchange of information on tax issues with the Czech Republic.
No WHT is levied on royalties paid to resident companies and individuals.
Bilateral Agreement
Spain and the Czech Republic signed a Double Taxation Treaty.

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Find out more about Taxes and Accounting in the Czech Republic on GlobalTrade.net, the Directory for International Trade Service Providers.

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Actualitzacions: May 2022

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