Tax basics

Czech VAT (DPH), explained without the Czech

DPH is the Czech version of VAT. It applies to almost everything you sell, from e-commerce products to consulting hours. Getting registered at the right moment, and correctly applying the reverse charge to EU clients, keeps you out of trouble.

Rates in 2026

Standard rate: 21 percent (most goods and services).
Reduced rate: 12 percent (food, some medical goods, books, water and heat, accommodation).
Zero rate: books are zero-rated as of 2024.

When you must register

The compulsory registration threshold is 2,000,000 CZK of turnover over any 12 consecutive months. From the moment you cross it, you have 15 days to file the registration form with the tax office. You become a VAT payer on the first day of the second month after applying.

You can also register voluntarily, which is common for exporters and B2B service providers who mostly issue invoices to other EU businesses. Voluntary registration lets you claim input VAT on your Czech costs.

Selling to EU businesses

For services supplied to a VAT-registered business in another EU country, the reverse charge applies. You issue the invoice without Czech VAT and add the note danove plneni podleha rezimu preneseni danove povinnosti or the English equivalent. The customer accounts for VAT in their country. You still report the transaction on your Czech recapitulative statement (souhrnne hlaseni).

Selling to EU consumers

For digital goods and cross-border e-commerce to consumers, the One Stop Shop (OSS) scheme lets you collect the destination-country VAT and file a single quarterly return in Czechia. Without OSS you would need to register in every country where you cross the 10,000 EUR combined distance-sales threshold.

Filing rhythm

VAT payers file monthly by default. New registrants under 10 million CZK turnover can request a quarterly period after two years. The control statement (kontrolni hlaseni) is always monthly and always electronic.