Taxes
Senate: Single Monthly Employer Reporting bill passed
The senate has passed the Bill on Single Monthly Employer Reporting (in Czech Jednotné měsíční hlášení zaměstnavatele or JMHZ). However, the accompanying bill containing unrelated legislative amendments was returned to the chamber of deputies with…
Income taxes - summary of selected changes approved by chamber of deputies
At the end of June, the chamber of deputies approved in its third reading the bill on the Single Monthly Employer Reporting (JMHZ), including draft amendments to the accompanying laws. Although the JMHZ Act as a whole is due to come into effect on 1…
Taxation of employee stock option plans again and differently
The third change in a year and a half has been proposed to the taxation of employee stock and option plans within the debate of the laws accompanying the JMHZ Bill. This change relates to the taxation of the option plans for startups and entities…
Top-up taxes: extension of deadlines for tax returns and information returns
The chamber of deputies has approved an amendment to the Act on Top-Up Taxes extending the deadlines for filing the first-time Czech top-up tax returns and information returns to 18 months after the end of the taxable period. The amendment…
Deputies approve single monthly employer reporting
On 27 June 2025, the chamber of deputies approved the Bill on Single Monthly Employer Reporting (in Czech: jednotné měsíční hlášení zaměstnavatele or JMHZ) and its accompanying law.
Top-up tax: tax return and information return form
The Ministry of Finance has published a draft decree setting out forms for the tax return and the information return for allocated and Czech top-up tax. The tax return is common for both taxes, as is the information return, which is based on the…
Changes in tax legislation: news for ESOPs, abolition of limit for exempting…
During the debate of the draft Act on Single Monthly Employer Reporting (in Czech: jednotné měsíční hlášení zaměstnavatele or JMHZ) in the chamber of deputies, several amending proposals have been submitted and attached to the bill as legislative…
Extension of loan interest deduction: new tax relief for cooperative housing
The Senate of the Czech Republic approved a bill extending the possibility to deduct interest from the personal income tax base: apart from interest on mortgage loans, it will also be possible to deduct interest on housing cooperatives’ loans. An…
VAT treatment of compensation for stolen goods
The Coordination Committee of the Chamber of Tax Advisors and the General Financial Directorate recently considered compensation for stolen goods from a VAT perspective and concluded that such compensation is only subject to VAT if two conditions…
Top-up taxes: information exchange within EU and other legislative developments
On 6 May 2025, Council Directive (EU) 2025/872 amending Directive 2011/16/EU on administrative cooperation in the field of taxation was published in the EU Official Journal. The directive creates the conditions for the EU-wide filing of single top…
Employee stock and option plans: notifying tax administrator of taxation postponement
The amendment to the Income Tax Act under which the taxation of an employee’s income from share and option plans can only be postponed if the employer notifies the tax administrator of this choice, became effective from 1 April 2025. The General…
New decree on calculating floor area for VAT purposes
The Ministry of Finance presented a draft of a new decree on the method of calculating floor area for VAT purposes. The decree responds to changes in legislation pertaining to real estate and construction, about to enter into force on 1 July 2025.