Tax and social security news in 2020

31. 1. 2020
Electronic evidence of sales

The last wave of connection to electronic sales records concerning liberal professions, crafts, transport, agriculture and some manufacturing activities is coming into force in May. Small enterpreneurs may use advantage from the possibility of having the evidence in paper form. Businesses, that have to start the evidence this year, are allowed to use a one-time tax deduction in the amount of 5.000 CZK to compensate initial costs.

Taxation of lotteries

At the beginning of the year, the tax rates for lotteries were increased from 23% to 35%. This taxation also affects physical persons who have won more than 1.000.000 CZK.

eNeschopenka

As of January 1st a new electronic system called eNeschopenka came into force. It simplifies the communication among doctors, employers, social security office and unfit employees who are entitled to sick leave.

Increase of the minimum wage

The minimum wage was increased from 13.350,- CZK to 14.600,- CZK.

Parental leave allowance

As of January 1st, the parental leave allowance will be increased from 220.000 CZK to 300.000 CZK, or to 330.000 CZK for twins respectively. The increase applies also on parents who are already receiving the parental leave allowance.

General reverse charge

If the delivery of goods and services exceeds the value of 17.500,- Euros, the European Council approved a general application of reverse charges until June 30th, 2022.

Exception from real estate transfer tax

As of November 1st, 2019, first owners of housing units (finished or used) located in a family house or an apartment are exempted from the property transfer tax.