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Flat Tax Registration

FLAT TAX

Since the Czech Republic is becoming a country with more affordable taxes let’s take a look at a new upcoming option on how to pay taxes! Freelancers and business persons may pay income tax, social tax, and health insurance altogether by flat tax mode - “paušální daň”. From the 1st of January 2021, you will need just one form and one payment to complete all of your tax duties.


The sum has these parts:
5.994 CZK/month
Income Tax – 100 CZK
Health Insurance – 2 627 CZK
Social Tax – 3 267 CZK

How to pay?

Just by sending the total sum to one bank account (Czech Financial Office). Don't forget to use your reference number!
This applies only for the year 2022, next year the price will increase.

Who can apply for a Czech Flat Tax?

  • Freelancers and business person who do not exceed 1 000 000CZK income/annual in 2022 and from 1.1.2023 the Flat tax limit condition is increased to 2 000 000 CZK income/for the last 12 months
You can not apply if:
  • You are a VAT payer
  • You have an income from a full-time job or DPČ contract
  • You are a debtor to some authority

You can not apply if:

  • You are a shareholder of any company
  • You don’t have a Czech residency permit
We don’t recommend the flat tax method for freelancers with long-term residency or visas.
As you don’t apply for tax returns, there will not be a way how to provide proof of funds for visa renewal purposes.

Advantages

  • No tax report
  • Government promises no controls from Tax Office
  • No paperwork
  • No accountant is needed

Contact us and we can help you with the registration of Flat Tax!

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