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Generic Tax Name Tax on real estate
Tax name in the national language Daň z nemovitých věcí
Tax name in English Real estate tax
Member State CZ-Czech Republic
Tax in force since 1993/01/01
If abolished, date on which the tax ceases to apply
Business version date 2015/01/01
Version date 2015/02/17
This file was last updated on

Type of tax
Direct taxes Personal income tax
Corporate income tax
Other

Indirect taxes VAT
Excise duty (EU harmonised)
Alcoholic beverages
Energy products and electricity
Manufactured tobacco
Other

Social security contribution Employers
Employees
Other
 
Legal base

Act on Real Estate Tax, No. 338/1992 Coll., as amended by subsequent acts.

 
Who sets
The tax rate is set by




The tax base is set by




The reliefs are set by




Comments
 
Beneficiary





Comments

 
Geographical Scope

Czech Republic.

 
Taxpayers

Owner of land and structures or units (dwelling units, not dwelling units).

In special cases the taxpayer is a lessee who pays Land Tax on leased land or Tax on structures and units on leased structure or on leased dwelling unit (flat/apartment) or not dwelling unit  (non-residential space).

The user shall pay the tax where the owner of the land is not known or in case of lands whose terrain boundaries really arose after the lands were given over as a compensation for original lands that were merged.

The Act also includes special arrangement for the cases when the owner of land and of the taxable structure or unit (flat/apartment or  non-residential space)  is the State or  other relevant entity specified in the Real Estate Tax Act.

 

 
Tax object and basis of assessment
  •  Tax on land:
    • The tax base for arable land, hop-fields, vineyards, gardens, orchards, permanent grassland shall be the price established by multiplication of the actual area of the land in square metres by the average price per one square metre set by the appropriate decree issued in compliance with the authorization.
    • The tax base of plots of land which consist of commercial forest and ponds used for fish farming is the price of the plot of land as determined pursuant to the price regulations valid on 1 January of the taxable period or the area in square metres multiplied by CZK 3.80.
    • The tax base of other plots of land shall be the actual area of the land in square metres as ascertained at January 1 of the taxable period

 

  • Tax on structures and units:
    • Generally, taxable structures (i.e. buildings, engineering constructions and dwelling units and not dwelling units (flats/apartments, non-residential spaces) situated in the Czech Republic are subject to tax. The tax is levied on building, apartments and non-residential spaces and on engineering constructions listed in the Appendix to the Act on Tax on real  estate.
    • The tax base of  structure is the  ​​built-up area  in square meters  as at 1 January of  the taxable period (hereafter “built-up area”). The built-up area means the built-up area of ​​the structure under the Building Code that corresponds to the above-ground parts of taxable structure.
    • The tax base of flats/apartments or non-residential space  is the floor area of the flat/apartments or non-residential space in square meters as at 1 January of  the taxable period multiplied by a coefficient of 1.2. or  by a coefficient of 1.22 (hereafter “ adjusted floor area”).
 
Deductions, Allowances, Credits, Exemptions

Tax on land (e.g.):

  • Plots of land owned by the Czech Republic and by a municipality within whose cadastral area those pots of land are  located
  • Plots of land owned by another state which are used by accredited diplomatic representatives, if such persons are not citizens of the Czech Republic and there is a reciprocal arrangement 
  • Plots of land forming one functional unit with the taxable structure of the  heritage site/historical buildings  declared a cultural monument, if it is owned by the Czech Republic or open to public on the basis of a written agreement concluded between the Ministry of Culture and the owner.
  • Plots of land forming one functional unit with the building, flat/ apartment or non residential space  used for religious services of registered churches and religious societies.     
  • Plots of land forming one functional unit with the taxable structure, flat/apartment or non-residential space used by schools, museums, galleries, libraries, medical establishment, social care establishment, foundations or used for improvement of environment.
  • Plots  of land with structures used for instance for flood protection, structures of water supply, sewerage facilities and wastewater treatment plants, as well as taxable structures designed to purify wastewater before discharge into sewers and structures of transmission or distribution system or of heat distribution equipment under the Energy Act.
  • Land used as parks and sport grounds for the public.
  • Agricultural land and woodland after recultivation.
  • Land  with structures determined for public transport.
  • The local government may set exemptions to some types of agricultural land.

 

Tax on structures and units (e.g.): 

  • Taxable structures, flats/apartments and non-residential spaces owned by the Czech Republic  and by a  municipality within whose cadastral area these plots of land are located.
  • Taxable structures, flats/apartments and non-residential spaces owned by another state which are used by accredited diplomatic representatives, if such persons are not citizens of the Czech Republic and there is a reciprocal arrangement.
  • Taxable structure of heritage sites/ historical buildings  declared a cultural monuments, if they are owned by the Czech Republic or open to public on the basis of a written agreement concluded between the Ministry of Culture and the owner.
  • Buildings or flats/apartments and non-residential spaces owned by registered churches and religious societies used for religious services.
  • Taxable structures, flats/apartments or non-residential spaces used by schools, museums, galleries, libraries, medical establishment, social care establishment, foundations or used for improvement of environment.
  • Taxable historic building, flats/apartments and non-residential spaces for period of 8 years after the year following the year when a final inspection approval was issued for alterations undertaken by the owner. Buildings  or flats/apartments and non-residential spaces owned by severely handicapped persons who are holders of special medical certificate confirming their health handicap.
  • Taxable structures of water supply facilities, including water treatment plants, sewerage facilities and wastewater treatment plants, as well as taxable structures designed to purify wastewater before discharge into sewers, and structures of transmission or distribution system or heat distribution equipment under the Energy Act.
  • Taxable structures on rail, air, waterways and ports, if they are in accordance with the special office building used for public transport.
  • Taxable structures used for providing public transport.
  • In certain cases the buildings are exempted from the tax provided that they are not used for business activity or leased.
 
Rate(s) Structure

Tax on land:

  • The tax rate on arable land, hop-fields, vineyards, gardens, orchards and permanent grassland is 0.75 % of the tax base.
  • The tax rate on commercial forests and ponds used for intensive fish farming is 0.25 % of the tax base.
  • The tax rate on built-up areas and courtyard, and other land is 0.2 CZK per square meter.
  • The tax rate on developed land for structures, i.e. on plot of building land for which the building
    permit has been issued
    is 2 CZK per square meter.

This tax rate is multiplied by coefficients ranging from 1.0  to  5.0 according to the size of the municipality, local government has limited discretionary power to set this coefficient.

  • The tax rate on other plots of land is in respect of land with hard surface (hardening) if used for business activity (or in      connection therewith) for agricultural primary production, forestry and water management 1 CZK per square meter, in the case of other business activities the tax rate is 5 CZK per square meter of land.

Since 1.1.2009 local governments have been allowed to increase the tax. Tax duty can be multiplied by coefficients ranging from 2 to 5.

Tax on structures and units:

    • Dwelling houses: 2 CZK per square meter multiplied by the coefficient ranging from 1.0 to 5.0 according to the size of the municipality in the same way as in the case of developed land for structures,
    • Buildings for family l recreation purposes: 6 CZK per square meter,
    • Garages built separately from dwelling houses: 8 CZK per square meter,
    • Taxable structures and units used for business activity taking place in predominant part of built-up area of the taxable structure or of the above-ground floor area of taxable unit:
      • used for  agricultural primary production, forestry or water management: 2 CZK per square meter of the built-up area or adjusted floor area,
      • used for industrial production, civil construction, transport, powerengineering or other agricultural production: 10 CZK per square meter of the built-up area or adjusted floor area,
      • used for other business activities: 10 CZK per square meter of the built-up area or adjusted floor area, other taxable structures: 6 CZK per square meter of the built-up area
    • other taxable units (i.e. apartments and other  non-residential spaces) ), 2 CZK per square meter of adjusted floor area.

These rates are multiplied by coefficients ranging from 1.0 to 5.0 according to the size of the municipality, local government has limited discretionary power to set this coefficient. Since 1.1.2009 local governments have been allowed to increase the tax. Tax duty can be multiplied by coefficients ranging from 2 to 5.

 
Tax due date

The crucial date is January 1 of the relevant taxation period. The taxpayer must submit a tax return ) on or before 31 January of the taxable period. The tax return should be submitted in the following years only if there is a change which affects the tax assessment.

Tax which does not exceed CZK 5,000 must be paid as a lump sum  no later than May 31 of the current taxable period. Otherwise the tax can be paid in two equal payments  no later than May 31 and November 30 of the current taxable period. Taxpayers involved in agricultural production are liable to pay the tax in two equal instalments on or before 31 August and 30 November of  the current taxable period.

 
Tax collector

Tax offices.

 
Special features

 
Economic function







Comments
 
Environmental taxes



Comments
 
Tax revenue
ESA95 code d29aa + d59aa

Year
Annual tax revenue (millions)
Currency
Tax revenue as % of GDP
Tax revenue as % of total tax revenue
2012 9,541.00 CZK 0.24
2011 8,479.00 CZK 0.21
2010 8,747.00 CZK 0.22
2009 6,361.00 CZK 0.16
2008 5,195.00 CZK 0.13
2007 5,123.00 CZK 0.13
2006 5,016.00 CZK 0.14
2005 4,987.00 CZK 0.15
2004 4,948.00 CZK 0.16
2003 4,841.00 CZK 0.17
2002 4,576.00 CZK 0.17
2001 4,535.00 CZK 0.18
2000 4,470.00 CZK 0.19
1999 4,271.00 CZK 0.19
1998 4,138.00 CZK 0.19
1997 3,938.00 CZK 0.20
1996 3,991.00 CZK 0.22
1995 3,758.00 CZK 0.24

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