newas

The limit of withholding tax is changing!

Do you know how?

Ivana Brancuzká
22/04/2019
newas

In May 2019, the withholding tax limit is changing from 2,500 CZK to 3,000 CZK. Since 2018, income up to CZK 2,500 is taxed by withholding tax if the employee working on full time job (HPP) or agreement on work activity (DPČ) does not sign a tax declaration with the employer. Employees thus lost the obligation to file a tax return in the event of minor incomes. With effect from May, however, the limit will be linked to the limit for participation in sickness insurance (from January it is 3,000 CZK), so in the future the limit for withholding tax will change automatically without the need to change the tax law.

Author

Ivana Brancuzka
Ivana Brancuzká
Payroll Manager
Contract Administration