Extension of the scope of 10% reduced VAT

Effective May 1, 2020, the Czech Republic will apply the reduced VAT rate of 10 percent to sales of:

(1) water treatment and distribution services;

(2) wastewater collection and treatment, including other services related to these activities;

(3) catering services, serving of beverages, under certain conditions;

(4) renting or hiring books, brochures, leaflets, prospectuses, newspapers, magazines, periodicals, picture books, drawings, coloring books, sheet music and cartographic products if they are provided as public library and information or other services provided under the Library Act or as similar services provided under other legislation;

(5) household cleaning services;

(6) household window cleaning services;

(7) home care for children, the elderly, the sick and disabled persons;

(8) repair of footwear and leather products;

(9) repair and adaptation of clothing and textile articles;

(10) repair of bicycles;

(11) hairdressing and barbers’ services;

(12) the sale of books, brochures, leaflets, prospectuses, newspapers, magazines, periodicals, picture books, drawings, coloring books, sheet music and cartographic goods (including in electronic format);
and

(13) drinking water sold to customers by a water provision system pursuant to the Water Supply and Sewerage Act.

Source KPMG

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