The beginning of 2026 marks the start of the main reporting phase for personal income tax regarding the 2025 fiscal period. The current fiscal strategy of the Czech Republic relies on the principles of deep digitalization and increased control over the transparency of financial operations. For taxpayers, this entails the simplification of several formalities but simultaneously requires stricter compliance with regulated deadlines and absolute precision in data submission. In this article, we have prepared an expert overview of the procedural requirements and legislative nuances of the 2026 tax season.
What is new in the 2026 tax regulations
The most significant change this year is the launch of the automatic adjustment system known as «valorization» (valorizace). Many tax limits and indicators in the Income Tax Act (Zákon o daních z příjmů — ZDP) are now linked to the growth of the average national wage. If wages in the Czech Republic rise, the thresholds for tax obligations shift automatically.
Good news for those solving housing issues — it has become easier to account for housing expenses starting this year. You can now deduct interest on loans taken for the acquisition of cooperative housing from your tax base. Previously, this process involved significant bureaucratic hurdles.
A special tax regime has been introduced for employees of startups regarding stock and option programs. If your employer rewards you with a stake in the company, the tax on this income can now be deferred until the actual sale of the shares, which is highly beneficial.
Another pleasant detail is that the tax authority has begun accepting instant payments through the Czech National Bank (ČNB). You no longer need to worry about whether funds will arrive on the last day of the deadline because payments will be credited instantly even on weekends or public holidays.
Who is required to file a tax return this year
The obligation to file a tax return (Daňové přiznání) for 2025 is regulated by paragraph § 38g of the ZDP act. In 2026, you are required to report to the tax office in the following situations.
- Your total annual income exceeded 50,000 CZK from sources where tax has not yet been paid. When calculating this amount, you do not need to include state benefits, alimony, scholarships, or money from the sale of real estate that you owned long enough (usually over 10 years). This also does not include income where tax was already withheld for you, such as interest on Czech bank accounts or small side jobs under a DPP contract (up to 10,000 CZK per month). Everything else counts, including freelance earnings without an ID number, profits from the sale of stocks and cryptocurrencies, or any transfers from abroad. If the sum of such gross receipts for the entire year of 2025 exceeded 50,000 CZK, filing a return is mandatory.
- You are officially employed but earned over 20,000 CZK from side sources during the year. If you have a primary job where the employer pays your taxes, but you also rent out an apartment, engage in trading, or have other additional income, you must sum these receipts. If they exceeded 20,000 CZK (before expenses) for the entire year, you must file a tax return.
- You held two or more jobs simultaneously. If you worked for multiple employers at the same time for at least one month in 2025 under a standard employment contract or a DPČ agreement, and advance tax (zálohová daň) was withheld from both salaries, you must file the return yourself. In this case, your primary employer is not permitted to perform the annual tax reconciliation for you. Remember to request certificates of income (Potvrzení o zdanitelných příjmech) from all workplaces in advance.
- You are registered as a self-employed individual (OSVČ). Entrepreneurs are always required to report unless they were in the «flat-rate tax» (paušální daň) regime for the entire year and did not violate its conditions. Violations include exceeding income limits or receiving side income over 50,000 CZK. In all other cases, you must file a return.
- You recorded a tax loss. If your business incurred more expenses than income in 2025 and you officially ended the year with a «minus,» you must still file a return. This is in your best interest as a declared loss can be deducted from profits in subsequent years, thereby legally reducing future taxes.
How and when to submit your documents
Filing deadlines depend on the method you choose, and the following dates apply in 2026.
- Until April 1, 2026 — the deadline for paper tax returns. This applies only to those who visit the tax office in person or send the documents by post.
- Until May 4, 2026 — the deadline for electronic submission. If you send the file through the MOJE daně portal or a Data Box (Datová schránka), the state grants you an extra month.
- Until July 1, 2026 — for those using the services of a tax advisor or an auditor.
An important nuance — if the state has ever opened a Data Box (Datová schránka) for you as an entrepreneur or a professional, you are obligated to file the report only in electronic form. Attempting to submit a paper form in this case will result in an automatic fine for non-compliance with the filing format.
Tax credits and deductions to help you get money back
The Czech tax system allows for a significant reduction in the final amount due through two mechanisms.
1. Tax credits (Slevy na dani) — these are deducted directly from the calculated tax.
- Basic taxpayer credit (Základní sleva na poplatníka) — for 2025, this is 30,840 CZK per year (or 2,570 CZK per month). According to the ZDP § 35ba act, every taxpayer is entitled to this without exception. It is a yearly credit, so even if you worked for only part of the year, you can use the full amount.
- Child tax credit (Daňové zvýhodnění na děti) — the amount of this credit depends on the number of children. For the first child, it is 15,204 CZK (1,267 CZK per month), for the second child, it is 22,320 CZK (1,860 CZK per month), and for the third and each subsequent child, it is 27,840 CZK (2,320 CZK per month). To apply this credit, the child must reside with you in the same household.
- Disability tax credit (Sleva na invaliditu) — for taxpayers with 1st and 2nd degree disability, the amount is 2,520 CZK per year (210 CZK per month). For those with a 3rd degree disability, the credit increases to 5,040 CZK (420 CZK per month). A separate credit is provided for holders of a ZTP/P card in the amount of 16,140 CZK (1,345 CZK per month).
- Spouse tax credit (Sleva na manželku) — you can receive 24,840 CZK (2,070 CZK per month) if your partner lives with you and their annual income did not exceed 68,000 CZK. In 2026, this credit applies only if the spouse is caring for a child under the age of 3. If the spouse has a ZTP/P disability status, the amount is doubled to 49,680 CZK (4,140 CZK per month).
2. Tax deductions (Nezdanitelné části) — these amounts are subtracted from your tax base according to paragraph § 15 of the ZDP act, thereby reducing the final tax.
- Mortgage interest — you can deduct up to 150,000 CZK of interest paid during the year. This applies only to loans for personal housing needs, such as buying an apartment or building a house. Since 2025, this officially includes interest on loans for cooperative housing.
- Voluntary retirement savings — the state allows you to reduce your tax base by up to 48,000 CZK per year for your personal contributions to special funds. This includes classic pension insurance (Penzijní připojištění), supplementary pension savings (Doplňkové penzijní spoření), life insurance, and the new long-term investment product (Dlouhodobý investiční produkt — DIP).
- Donations and charity — specific rules apply here. The minimum donation must be either 1,000 CZK or more than 2% of your tax base. Regarding the maximum, the law for the 2025 tax period allows a deduction of up to 30% of the tax base.
- Blood and organ donation — for each blood donation, you can deduct 3,000 CZK from your tax base. If you are a bone marrow donor, the deduction amount is 20,000 CZK.
Penalties for violations and errors
The state monitors compliance strictly but allows some flexibility for those who simply get confused by dates or figures. According to the Tax Code (Daňový řád), various sanctions are provided for different violations.
Errors in the return and how to fix them — if you have already filed the report but found an error, the consequences depend on when you noticed it. If the deadline has not yet passed, you can file an «amended» return (Opravné daňové přiznání), which completely replaces the previous one without any fines. If the deadline has already passed and the error led to an underpayment of tax, you are obligated to file a «supplementary» return (Dodatečné daňové přiznání). In this case, you must pay the tax difference and interest for the late payment, but you will avoid the heavier penalty of a tax fine. If the tax inspector finds the inaccuracy during an audit, you will be charged a penalty of 20% of the additional tax due or 1% in the case of a reduced tax loss.
Fine for late filing (Pokuta za opožděné podání daně) — the tax office forgives a delay of up to five working days. If you file the return later than this, you will be charged a fine of zero point zero five percent of the tax amount for each day of delay. The maximum penalty is limited to five percent of the tax or 300,000 CZK. If your tax is zero or you are expecting a refund, a fine for a serious delay can still be issued, usually starting at 500 CZK. However, the tax office generally does not issue a bill if the late filing fine does not exceed 1,000 CZK.
Interest for late payment (Úrok z prodlení) — if you filed the report on time but forgot to transfer the money, the interest counter starts. You have a grace period of three working days after the deadline. Starting from the fourth day, you will be charged interest at a rate tied to the ČNB repo rate plus eight percentage points. As with the late filing fine, the tax office likely will not demand payment of this interest if the total amount for one period does not exceed 1,000 CZK.
Fine for incorrect filing format (Pokuta za nedodržení formy podání) — this is a subtle trap for modern users. If the law obligates you to file electronically (e.g., through a Data Box) and you submit a paper form, the tax office will issue an automatic fine of 1,000 CZK. If you ignore the request to correct the format after an official summons from an inspector, the fine can rise to 30,000 CZK.
What foreigners should consider and how to file online
The main question for any foreigner in the Czech Republic is their tax residency status. As a general rule, if you spent more than 183 days in the country in a year, you become a Czech tax resident. This imposes a serious obligation as you must report income not only from the Czech Republic but also from abroad. This applies to situations where you work remotely for another country or rent out property there.
To avoid getting lost in paper forms, use the MOJE daně portal. If you have a Czech bank card, the easiest login is through Bank Identity (Bankovní identita). If you have access to online banking in the Czech Republic, you already have access to your tax portal.
In the personal cabinet (DIS+), the return form is interactive, so it highlights errors, suggests where to enter children or mortgage data, and automatically sums all the figures. This is the most reliable way to file without risking fines for incorrect calculations.
Key takeaways
For your convenience, we have prepared a short summary with the essential figures.
- Remember to file by April 1 on paper or by May 4 electronically. If you work through a consultant, your deadline is extended to July 1.
- Check your annual income. If the total from various sources is above 50,000 CZK and taxes were not paid, a return is mandatory. For those employed, the threshold for side income is 20,000 CZK.
- Foreigners must remember the residency status. If you are in the Czech Republic for more than 183 days, you are obligated to declare all your global income, including receipts from abroad.
- Keep mandatory electronic filing in mind for all Data Box owners, otherwise you risk a fine of at least 1,000 CZK for non-compliance with the format.
- Be sure to use tax credits. The basic credit per person is 30,840 CZK, and child benefits can reach 27,840 CZK for the third child. Don’t forget deductions for mortgages (now including cooperative housing) up to 150,000 CZK and voluntary pension contributions up to 48,000 CZK.
- Monitor data accuracy because a penalty of 20% of the additional tax applies if an inspector finds an error, whereas self-correction through a supplementary return helps avoid this penalty.
- Watch the filing deadlines because after five working days, the fine is 0.05% of the tax per day. A payment delay costs 8% above the repo rate, and an incorrect filing format results in a fine of at least 1,000 CZK.
Trust your taxes to Domytax professionals
Taxes in the Czech Republic can feel like a complex labyrinth, but you don’t have to navigate it alone. Domytax specializes in accounting services and tax consulting for individuals and entrepreneurs.
If you have questions, face an unusual situation, or simply want to be sure everything is filled out perfectly, please contact us. We can provide a one-time consultation for your case or take over the preparation and submission of your return as a «turnkey» service. With Domytax, your relationship with the tax authorities will become transparent, calm, and as beneficial as possible.
To contact us:
💬 Chat with us online: DoMyTax
📞 Call us: +420 228 229 092
📧 Email us: info@domytax.cz
📍 Visit our office: Vista House, Na Pankráci 30, 140 00 Nusle, Prague
