VATupdate
VAT

VAT rates in Czech Republic

Quick overview

Standard Rate Reduced Rate Other Rates
21% 15% 10%

The local name for VAT in Czech Republic is “Dan z pridane hodnoty (DPH)” Recently, Czech Republic introduced (extended) following temporary measures:

For more information about (recent) rate change developments in Cyprus, please click here. Standard rate: 21% This rate applies for all transactions that take place in Czech Republic, unless an exception applies (such as a reduced rate, the zero rate or an exemption, or a reason to treat the transaction as outside scope of VAT). Zero rate (0%)

  • Exports of goods • Intra-Community supplies of goods • International transportation of passengers and their luggage • Transport and services directly related to the importation or exportation of goods

Reduced rate 1: 10% Examples of transactions subject to this rate are:

  • Public transport
  • Heating
  • Books and magazines subject to certain conditions
  • Medications
  • Medications for veterinary use
  • Necessary baby food

Starting from 1 May 2020, the list of items included in 10% VAT rate was extended, for example:

  • Restaurant and catering services, including serving draft beer
  • Household cleaning services
  • Bicycle repairs, footwear and clothing repairs
  • Children, senior and disabled home care
  • Hairdresser and barber services
  • Drinking water supplied through a pipe
  • Water distribution and treatment of sewage
  • E-books

Reduced rate 2: 15% Examples of transactions subject to this rate are:

  • Foodstuffs
  • Repairs and work on medical instruments
  • Non-alcoholic beverages
  • Air passenger transport
  • Certain medical equipment and pharmaceuticals
  • Medical and social care (unless exempt)
  • Children’s car safety seats
  • Funeral services
  • Transfers of “housing provided as part of a social policy” (“social housing” includes apartments with a maximum floor area of 120 square meters and family houses with a maximum floor area of 350 square meters)

For a description of how the VAT rates are structured in the European Union, please see here.  The European Commission has also made an EU VAT rate database available where you can find the applicable VAT rate by entering the CN/CPA code of the goods respectively services (you can find more information here). A global VAT/GST rate overview can be found here (note this is a work in progress). This post was last updated on 5 April 2021.

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