Czech Annual Tax Return
Expat Accountant files Czech Tax Returns for companies and individuals
We file Tax Returns, calculate Tax Deductions and claim Tax Benefits for foreign-owned s.r.o. companies and foreigners working freelance on a trade license (žívnostenský list) or as employee in Czech Republic.What we see every year is that many employees and živnostenský list owners miss out on tax benefits because of incomplete tax registrations, poorly filled in Tax Returns or partial / missing bookkeeping.
Therefore it really pays off to hire a good (tax)accountant,
we will save you money and keep you out of problems.
Important: Filing a Czech Tax Return - last possible day: 31.03.20xx
The Czech Bookkeeping year for s.r.o.s, trade licenses and private individuals (Employees) runs from 01.01.20xx to 31.12.20xx. The last possible day to file for 2010 is 31.03.2011. This doesn't mean that the tax year id from March until March.If you are unable to file before 31.03.20xx then it is possible to file for an extension before 31.03.20xx, you can not file for an extension after 31.03.20xx.
Quick Jumps: s.r.o. Tax Return |
Trade License Tax Return |
Personal Income Tax Return |
Filing Tax Abroad |
Property Tax Return |
Extension / Late Filing |
Pricing |
Contact Us |
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s.r.o. Company - Corporate Tax Return 2010
s.r.o. companies use a double-entry bookkeeping system, and therefore closing the books and filing the s.r.o Corporate Tax Return is is so complicated that it is a job for an accountant, especially when there is international trade, import / export and / or foreign customers.In addition, we can also file Personal Income Tax Returns for the jednatel, shareholders and employees of the company, which is more difficult for foreigners than for normal czech employees, especially when they have multiple sources of income.
If an s.r.o. is VAT registered (obligated if the turnover is more than 1.000.000 CZK), then also the annual / quarterly / monthly VAT Return must be filed.
In case considerable profits have been made in 2010, it may be a good idea to discuss well in advance with our accountant if it is clever to make extra expenses, invest or pay off old loans. Everything you leave as profit in the company will be subject to 20% Profit Tax, and that would be a waste of money.
With every closing of the books we will include an English-language version of the documents, a complete annual report and statistics such as Profit and Loss statement, Debtors / Creditors statement, Liabilities and Assets statement and on request special reporting for a foreign mothercompany.
All our Tax Returns prepared by our accoutants will be verified by our CPA / Tax Advisor (Danový Poradce) before filing.
In extreme cases, we can also request extended filing of the tax return after 31.03.2010.
Quick Jumps: s.r.o. Tax Return |
Trade License Tax Return |
Income Tax Return |
Filing Tax Abroad |
Property Tax Return |
Late Filing |
Pricing |
Contact Us |
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Trade license - Income Tax Return 2010
With a živnostenský list you are 'always your own employee' so you do not file a Corporate Tax Return, but only a Personal Income Tax Return, which includes the income of your trade license and also your other global income from other sources (not only income generated by your business in Czech Republic).For the year 2010, 40% of the živnostenský list revenue is considered expenses,
so only 60% is the base for income tax, social charges and health contribution.
The income taxes to be paid are usually not the problem (especially because there are standard deductions), for an average income they are only a couple of thousand CZK.
The biggest shock is may times the social- and health charges. People on živnostenský list pay monthly minimum advance charges for social security and health contribution, and many forget to save for the difference they still need to pay at the end of the year if they made more than the minimum salary in 2010. This can be 10.000s of crowns, which need to be paid at once to the social office and health insurance.
For each trade license tax return we call the social office and health insurance to make sure everything is in order and there are no outstanding debts and fines. We will calculate exactly how much you need to pay extra for 2010 and, if you made more than the minimum income in 2010, what the new social- and health charges will be for 2011.
Although a živnostenský list may produce only a couple of invoices per year, many people are tempted to think that filing a Tax Return may not be so difficult. This may be true in the most simplest cases, but czech tax law is complicated and especially when you have the obligation to report in your home country we highly recommend to make use of our services instead of attempting to fill in your own Tax Return, because it is also obligated to have official accounting books for each year, just filling in one pink form is not enough!
Quick Jumps: s.r.o. Tax Return |
Trade License Tax Return |
Income Tax Return |
Filing Tax Abroad |
Property Tax Return |
Late Filing |
Pricing |
Contact Us |
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Employee - Income Tax Return 2010
We keep repeating it, but we see so often that the employer does not register the employee properly, especially if it is a foreigner, and they miss out on 10.000 CZKs of deductions and benefits each year.If on the annual salary overview that the employee receives for the employer the company address is written instead of the employee's address, it is almost certain that the employee needs to file his own tax return in order to claim deductions and benefits.
An average family may be good for 70.000 CZK in Tax Deductions, so this also means that every month too much taxes have been paid that now need to be claimed back. Even for the year 2008 we are able to claim back 'lost' tax deductions, but for 2007 and years before it is very difficult. We need to look at that on individual basis.
In case you have worked part of the year abroad, have (had) multiple jobs (or switched jobs) and / or have other sources of (foreign) income it is also necessary to file a Personal Income Tax Return.
We will have all your required foreign documents translated and will register you as czech tax resident on your behalf with minimum effort required from you. Then we file your personal income Tax Return 2010. Any taxes that you have paid too much will be refunded to you, usually within 30 days.
Other Income Tax Return 2010
When you receive income, other than from employment in Czech Republic, for example from a foreign source, one-off work or sales of property, you are to file this income as well. Usually this kind of income is not subject to social- and health charges but only 15% income tax needs to be paid over it.Dividends are not subject to personal (income) tax because the company already paid Profit Tax and Dividend Tax, so the amount received by the individual is not taxable again.
Quick Jumps: s.r.o. Tax Return |
Trade License Tax Return |
Income Tax Return |
Filing Tax Abroad |
Property Tax Return |
Late Filing |
Pricing |
Contact Us |
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Obligation to file Taxes abroad
Many foreigners (especially American citizens) must report the first or more years to their country of origin. As a rule of thumb, if you have spent less than 183 days in Czech Republic, you most likely must file abroad, because you are not considered tax-resident in Czech Republic.Even if the next year you by default are tax resident here, that doesn't mean you no longer have to file abroad as well. What makes the thing extra complicated is that there are many bi-lateral tax agreements between Czech Republic and foreign nations, not two of them being the same.
We recommend to register in Czech Republic as Tax Resident as soon as possible and each year file in Czech Republic as early as possible, so there is still enough time to prepare and file the foreign Tax Return.
Quick Jumps: s.r.o. Tax Return |
Trade License Tax Return |
Income Tax Return |
Filing Tax Abroad |
Property Tax Return |
Late Filing |
Pricing |
Contact Us |
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Paying Property Tax, Filing Rental Income
If you own a piece of land, a house or an apartment you are obligated to pay property tax. Since every community has different ratios which can change it is important to verify this.A new owner is to file a Property Tax Return after the first (partial) year, latest 31.01.201x. Also, in case of changes (reconstruction, more buildings, more land etc.) it is necessary to file an updated Property Tax Return.
Filing Rental Income is another thing that should not be forgotten. This means that this source of income must be added to a Personal or Corporate Tax Return, which is due 31.03.2011.
The rental income minus 30% expenses (or real, calculated expense) is subject to (income) tax.
Quick Jumps: s.r.o. Tax Return |
Trade License Tax Return |
Income Tax Return |
Filing Tax Abroad |
Property Tax Return |
Late Filing |
Pricing |
Contact Us |
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What if you can not file in time or did not even file for 2008?
Not filing in time (latest 31.03.2011) is asking for trouble. It can / will result in penalties and checks.This however, can be easily avoided. File in Time.
If there are really serious reasons for not being able to file in time, notify us well before 31.03.2011. Our tax advisor (daňový poradce) is able to file for an extension. This method however, should only be used in extreme cases, where there is indeed a good motivation.
If you have discovered that last year was not even filed at all, notify us as soon as possible, because this kind of cases may require a lot of time to prepare. Most likely one or more visits to the tax office will be necessary to avoid fines or in an extreme case, the execution department blocking of your bank accounts or de-registering the s.r.o. or trade license by court-order.
Pricing for Tax Return Services
Alexio will do the accounting, close the books, call the social office and health insurance (to make sure everything is in order and paid), represent you at the tax office and file the 2009 Annual Tax Return for s.r.o. companies, trade licenses and employees.It is unfortunately not possible to make an exact offer before seeing your papers,
or at least having a conversation about it, so below prices are indications only.
- s.r.o. Company Tax Return, 7.500 - 15.000 CZK *
- Trade license Tax Return, 5.000 - 7.500 CZK *
- Employee / Personal Tax Returnv (income from CZ), 2.500 - 5.000 CZK
- Employee / Personal Tax Return (foreign income), 5.000 - 10.000 CZK
- Property Tax Return, 2.500 - 3.500 CZK
- Rental Income Tax Return, 2.500 - 3.500 CZK
unprocessed monthly / quartely bookkeeping invoiced seperately,
unless you really have a handfull of documents.
The reason for giving such a general pricelist is that some people have their books in perfect order, while others (or their accountant) have neglected them for a year (or more).
We at Alexio do our best to give you a fair price, and hereby we aks you to contact us so we can make you a 'custom-made' offer.
Quick Jumps: s.r.o. Tax Return |
Trade License Tax Return |
Income Tax Return |
Filing Tax Abroad |
Property Tax Return |
Late Filing |
Pricing |
Contact Us |
Top |