EET 2.0 and other proposals by Ministry of Finance

The bill on electronic sales reporting and amendments to certain other laws was submitted by the ministry for comment procedure on 19 February 2026. Most of the measures are proposed to take effect from 2027.
 

Electronic sales reporting – EET 2.0

Compared to the previous system from 2016, the new version of EET is supposed to be technically simpler, better reflect the current digital economy and mean less admin for small businesses. It is planned to be used to report all contact payments (i.e., payments made by personal contact), both cash and non-cash (e.g. payments made using a QR code, payment cards, gift cards, vouchers for goods, etc.).

For the electronic sales reporting purposes, personal interaction plays a key role, as a contact payment is understood to be a payment made in person with the taxpayer or at their place of business when ordering or receiving goods or services.

Electronic sales reporting should be based on a minimum amount of data being transferred, and greater use of non-cash payments. A free web application from the financial administration should be available for small businesses. The law should not require businesses to issue receipts to customers.

"EET OFF" scheme for the smallest businesses

A new feature is the special "EET OFF" scheme for businesses subject to lump-sum tax in the first band and annual income of up to CZK 1 million. These businesses should not be required to report their sales in the system. However, their lump-sum tax should increase by CZK 1,400 per month.

Under the bill, eligible businesses will have to apply for the "EET OFF" scheme with the tax administrator through a notification of registration for a surcharge to be exempt from the statutory electronic sales reporting obligation. If a business ceases to meet the conditions for using this scheme, the obligation to report sales electronically will apply to them from the following taxable period.

EET-related tax credit

In connection with the reintroduction of EET, the bill proposes to introduce a tax credit for taxpayers with income from self-employment to compensate them for the administrative burden. This will be calculated as the positive difference between 15 per cent of the partial tax base from self-employment and the basic tax credit per taxpayer. If this amount exceeds CZK 5,000, only CZK 5,000 should be applied.

This credit should be a one-time tax credit that can be applied in the first taxable period when the taxpayer registers their sales. The credit should be available to those who are registering sales for the first time, as well as those who had already fulfilled this obligation in the past under the original law. Tax residence and the share of income from sources in the Czech Republic will not be decisive for claiming this credit.
 

Tax credits for employees and families

The proposed legislative package also includes changes to personal income taxation.

• Tax credit for placing a child in a preschool facility
  For each dependent child, a tax credit of up to the minimum wage per year should be available. The proposed wording takes into account situations where parents share custody of a child, allowing the maximum limit to be divided between the individual households in which the child lives.
  
  Under the bill, preschool facilities will be required to electronically report specified information to the tax administrator. This includes data on enrolled children, taxpayers who incurred expenses for their enrolment, and the total amounts paid by individual taxpayers. The information will be submitted through a new prescribed form that will have to be filed no later than 31 January following the end of the relevant calendar year.
  
   
• Tax credit for being a student
  The annual tax credit for being a student should be reinstated at its previous level prior to its cancellation in 2023, amounting to CZK 4,020 per year.

• Exemption of leisure-related employee benefits
  The bill proposes to abolish the limit for income tax exemption of non-financial leisure benefits (with the exception of recreation and travel, for which the limit of CZK 20,000 per taxable period would be reinstated), as was the case until 31 December 2023.
  
  The same should also apply to the exemption of non-financial income arising from the participation of an employee or their family member in social events, including those with a cultural or sporting element, organised by the employer for a limited group of participants.
  
  The limit for the income tax exemption of the purchase of goods or services of a health, medical, hygienic and similar nature from healthcare facilities or the purchase of medical devices on prescription should remain in application, up to the average wage for the taxable period.
  
   
• Non-financial benefits provided in the form of contributions to social services
  Non-financial contributions provided by an employer to an employee or their family member for personal assistance, nursing care, emergency care, respite care, early care or day care services should now be exempt from income tax if they are provided as a community service and on the basis of authorisation under the Social Services Act.
   

Income tax exemption of voluntary tips from meal services

Voluntary tips given to employees in the catering industry are proposed to be partially exempt from personal income tax and social security and health insurance contributions.

The exemption should apply only to voluntary tips that employees receive within the framework of their employment relationship in direct connection with the provision of meal services. Tips must be provided by customers and only apply to establishments where meal services are provided for consumption on the premises – typically restaurants, cafés, bars and similar establishments. The exemption should not apply, for example, to snack stalls, food trucks, or open-air markets.

According to the bill, tips up to 7 per cent of the employer's monthly income from meal services should be exempt from personal income tax and social security and health insurance contributions. It is up to the employer to determine how tips are distributed among individual employees. If employees receive income in the form of tips from meal services from multiple employers, the limit for their exemption is assessed separately for each employer.

The exemption should only apply to employees who have income from employment (dependent activity) and not to self-employed persons who run their own catering business.