In 2024 / 2025, there are now updated tax rates depending on income thresholds. 15 percent tax rate on income up to CZK 131,901 monthly gross; 23 percent tax rate on income above CZK 131,901 monthly gross; Example 1: Working mother of two children. Take a working mother of two children with a gross salary of CZK 35,000 per month. In this caseHowever, for 2024, the threshold will be lower, at CZK 1,582,812 per year (CZK 131,901 per month) as the higher tax rate of 23 percent will apply to income equal to or more than 36 times the average wage. A limit on the exemption of non-financial (leisure-time) benefits amounting to half of the average wage will be introduced. 6.2 Taxable income and rates 6.3 Inheritance and gift tax 6.4 Net wealth tax 6.5 Real property tax Czech Republic Taxation and Investment 201 7 Personal income tax and social security contributions Taxation of pensions Old-age pensions are not taxed up to a value of CZK 439 200 per annum. Above this the tax rate is 15%. Social security contributions paid by pensioners Recipients of pensions do not pay social security contributions from their pensions, but they pay social
Personal Income Tax. Tax residents in the Czech Republic are taxed on worldwide income, whereas non-residents are only taxed on income from within the Czech Republic. Income tax is set at a standard rate of 15%, regardless of salary. Employees must also make social security contributions which cover pensions, unemployment benefits, and sick pay.
Personal income tax (PIT) rates; Personal income tax (PIT) due dates; Value-added tax (VAT) rates Czech Republic: Netherlands: Turkey: Denmark: New ZealandAn individual not meeting the conditions of Czech tax residency is considered Czech tax non-resident. Non-residents present in the Czech Republic for less than 183 days in any 12-month period and working for a foreign employer with no taxable presence in the Czech Republic are not subject to Czech income tax on employment income from work
Also in Austria a tax shift took place increasing the net income on the lower salaries. Taxes on higher salaries have not changed, the usual rate is 50% or more, as opposed to the Czech Republic where the tax rate for higher salaries is approximately 24% including the solidarity tax increase. The base of the new tax is the amount by which the corporate income tax base of the company generated in years 2023 – 2025 exceeds 120% of its average base reported in years 2018 – 2021. Base: The CIT base is calculated based on the accounting result determined according to the Czech accounting principles. The accounting result is then The Czech Republic applies progressive taxation on income of tax residents as follows: Gross annual income up to ca CZK 1.5 million (the bracket is calculated as 36x average monthly salary) is subject to a 15% rate. Gross annual income exceeding this threshold is subject to a rate of 23%.Tax returns. The basic filing and payment deadline is 1 April of the year following the tax period. As of 2021, an automatic extension to 1 May is possible for taxpayers filing electronically. The deadline of 1 July applies if a Czech registered tax advisor files the tax return, as long as a power of attorney authorising the registered tax
.