Taxrates for Companies and Individuals in Czech Republic
Filing Dates / Payment Dates for Tax Returns
| 31.01.2012 | for Property Tax payment, Property Tax Return and Road Tax for company cars. |
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| 31.03.2012 | for Corporate Tax Return and Personal Income Tax Return. |
| 25.04.2012, 25.07.2012, 25.10. 2012, 25.01.2013 |
for Quarterly VAT Tax Return, for Monthly VAT Return it is the 25. of the next month. |
| 15.03.2012, 15.06.2012, 15.09. 2012, 15.12.2013 |
for Bi-annual and quarterly Income Tax Prepayments, in case of high income / revenue. |
s.r.o. Corporate Tax
| Profit Tax (of s.r.o's) |
21% (in 2008), 20% (in 2009) and 19% (in 2010) note: due to the economic situation, these percentages may change. |
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| Tax loss carry forward | 5 years |
| Witholding Tax (dividends) |
15% - to be applied after the tax on profit. |
| VAT | 20% - valid from 01.01.2010 (goods and services) 14% - valid from 01.01.2012 (mostly foodstuffs) |
| VAT Refund Period | 30 days - the taxoffice will refund within 30 days after filing the VAT report. You also have the obligation to pay within 30 days. VAT and VAT Registration in Czech Republic. |
Employee / Income Tax, Social Charges and Health Insurance
| Employee/Personal Income Tax | 15% - this used to be higher, between 15% and 32%, but may change again in 2013 / 2014. |
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| Employee Social Security Charges | 25% - employer's part, 6.5% - employee's part (2010) |
| Employee Health Insurance Charges | 9% - employer's part, 4.5% - employee's part (2010) |
Živnostenský List / Trade license Tax
| Standard Expense Deduction | 60% * - whether you make expenses or not, the remaining 40% is the basis for taxes and charges. * for most professions, for 'manual' labor it can be up to 80% |
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| Income Tax | 15% - calculated over the remaining 40% of the total revenue, minus standard tax deduction of 23.640 CZK |
| Social Charges | 29.2% - calculated over 20% of total revenue. Minimum monthly charges 1.836 CZK (was 1807 CZK in 2011) |
| Health Insurance | 13.5% - calculated over 20% of total revenue. * Minimum monthly charges 1.697 CZK (was 1670 CZK in 2011) * 3rd-Country Nationals without permanent residence permit pay nothing, they paid for health insurance when applying for the visa. |
| Cost Estimate | Please use this živnostenský list cost calculation sheet |
Other Tax
| Company Car Tax | To be paid in 4 parts, or at once in the beginning of the year. Costs are between 1.000 and 4.000 CZK, depending on engine size. A car used for a company must be registered for silnicní dan. This is not the same as the highway sticker. Company Car in s.r.o Company or Trade License |
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| Property Tax | An owner of property will have to pay taxes, consisting of 2 parts, building tax and landtax. For both the tax is calculated according to: the number of sqare meters (of the building or land), multiplied by the tax rate (depending on the use of the space), multiplied by the coefficient (depends on the city). |
| Rental Income Tax | There are 2 ways of calculating the taxable income: rental income - calculated expenses and deductions, or rental income - a standard expense deduction of 30 % This income is subject to personal or corporate income tax. |
| Realestate Transfer Tax | 3%, to be paid by the seller, based on an official assessment or the salesprice, whichever is higher. |
| Capital Gains Tax | when non-commercial property is sold (with profit) within 5 years of purchase, capital gains are subject to tax. Capital gains are defined as purchase price - sales price. |