Czech Income Tax 15%/23% Calculator 2027
Czech personal income tax is 15% standard, with a 23% surcharge on annual tax base above CZK 1,582,812 (36× annual minimum wage, 2027). Tax credits reduce final tax. Source: Income Tax Act §16, financnisprava.cz.
Czech Income Tax 2027 — 15% Standard, 23% Surcharge
Income tax rate is 15% on annual tax base up to CZK 1,582,812 (36× annual minimum wage, 2027). Above that, the surcharge bumps the rate to 23%. The 23% surcharge replaced the previous solidarity tax in 2021 tax reform. Tax base is gross income minus mandatory social and health insurance contributions. Source: Income Tax Act §16, financnisprava.cz.
How Credits Reduce Final Tax Owed
Czech credits (sleva na dani) directly reduce tax owed, not tax base. Basic taxpayer credit CZK 30,840/year. Working spouse (income Deductions reduce taxable income before tax is calculated. Common deductions: pension scheme contributions up to CZK 24,000, life insurance CZK 24,000, mortgage interest CZK 150,000 (own residence), charitable donations 1-15% of base, donated blood CZK 3,000/donation, professional training, executive education. Source: Income Tax Act §15. Annual tax return (DPFO Form 25 5405) due April 1, 2027 for 2026 income. Extension to July 1 if filed by a registered tax advisor (with power of attorney). Electronic filing via EPO portal (financnisprava.cz). Most employees with single-employer income don't file — employer reconciles at year-end. Self-employed and multi-source income must file.Deductions Reduce Tax Base (Different from Credits)
Filing Deadline and Forms
Frequently Asked Questions
What is the Czech income tax rate in 2027?
15% standard, 23% on annual tax base above CZK 1,582,812. Source: Income Tax Act §16.
Are tax credits subtracted from income or from tax?
Credits reduce tax owed directly (CZK-for-CZK). Deductions reduce taxable income before tax is calculated.
What is the basic taxpayer credit?
CZK 30,840/year (CZK 2,570/month). Automatic for all resident taxpayers. Reduces final tax to zero for very low earners.
Can I deduct mortgage interest in Czechia?
Yes — up to CZK 150,000/year on a mortgage for your own residence. Loan must be for housing-related purposes (purchase, construction, renovation).
Who must file a Czech tax return?
Self-employed (OSVČ), employees with multiple employers in the same year, anyone with non-employment income >CZK 6,000 (other than tax-free), and those claiming deductions beyond what employer reconciles.