How much will you pay in 2027?

Band (annual revenue) Tax Social insurance Health insurance Monthly total
Band 1 (up to CZK 1 million) CZK 100 CZK 6,074 CZK 3,488 CZK 9,662
Band 2 (CZK 1 to 1.5 million) CZK 4,963 CZK 8,191 CZK 3,591 CZK 16,745
Band 3 (CZK 1.5 to 2 million) CZK 9,320 CZK 12,527 CZK 5,292 CZK 27,139

The first-band payment has been CZK 9,162; the second and third bands remain unchanged.

For the first band, this comes to CZK 115,944 per year, or CZK 6,000 more than this year. The increase is based on the minimum advance payments I discuss in Minimum advance payments for the self-employed in 2027.

TIP! Activities eligible for a 60% or 80% flat-rate expense allowance (licensed trades, including crafts, and agriculture) have more favourable band thresholds. You can qualify for the first band with revenue of up to CZK 1.5 million, or up to CZK 2 million for the 80% expense allowance, provided at least three quarters of your revenue comes from these activities.

Deadline for joining, changing bands or leaving

The notification is due by the tenth day of the year. However, 10 January 2027 falls on a Sunday, so the deadline moves to Monday 11 January 2027. This applies to joining the regime, changing bands and leaving. A missed deadline cannot be remedied; the next opportunity is a year later.

You can submit your notification of entry online on the Financial Administration website, through your data mailbox, by post or in person at the tax office. The office does not issue an approval: unless it sends you a notice that you do not meet the conditions, you are automatically in the regime. You do not need to inform the Czech Social Security Administration (ČSSZ) or your health insurer; the authorities share the information themselves.

  • Already paying flat-rate tax and want to continue: you do not need to notify anyone; just adjust your payment. The first advance payment at the new rate is due by 20 January 2027.
  • Starting a business during the year: submit your notification no later than the day you start your activity.
  • Want to change bands or leave the regime: submit your notification by 11 January 2027.

EET OFF

If you want to use the EET OFF regime, the same notification deadline applies. It is available only in the first band with revenue of up to CZK 1 million, and the payment rises by CZK 1,400 to CZK 11,062 per month. I have covered the details in a separate article, and electronic sales registration itself in EET 2.0.

Is it worth it for you?

Flat-rate tax is best suited to self-employed people with low to moderate expenses. You avoid filing a tax return and annual statements for ČSSZ and your health insurer, and pay everything in a single payment. The drawback is that you lose access to tax credits and allowances, such as those for children. I have written about how flat-rate options interact with having a child in Flat-rate or actual expenses and a child.

Before you decide, have the options calculated using your own figures. That is what our Tailored tax advice package is for: we compare the options and discuss the results in a consultation.

Not sure whether to stay in the flat-rate regime or switch to actual expenses? Get in touch and we will work through it together. 🌿