Validity of issued A1 certificates in the context of COVID-19 pandemic

With the temporary restriction of free movement of persons due to the COVID-19 pandemic, some employees and self-employed have been temporarily forced to carry out their gainful activity in the territory of the EU member state where they reside (home office), which may differ from the state where they had been carrying their gainful activity before the COVID-19 pandemic. The CSSZ has now confirmed that this does not constitute a change in circumstances relevant in terms of a change in the state where the person is insured for social security purposes.

Migrating persons (employees, self-employed) and employers thus do not have to report such temporary changes in circumstances (home office in the Czech Republic or abroad) to the local CSSZ; also, they do not have to return the previously issued certificates of being covered by Czech social security regulations (Certificate of Applicable Legislation, or A1 certificates), as long as they resume their gainful activity in the territory of several EU member states once the emergency measures are lifted.

According to information published by the CSSZ, a similar approach should also be applied by the institutions of our neighbouring states, i.e. Slovakia, Poland, Germany and Austria, as well as by France, Belgium, Luxembourg and Switzerland.

The above applies to social security and health insurance areas that are harmonised within the EU.

However, this does not apply to income tax, where the fact that employees or self-employed work in the home-office regime in the state of their residence might have tax implications for both the employer and the employee or self-employed. Therefore, we recommend a prudent approach in this area.