Renting Out Apartments in 2026: Legal, Tax and Accelerated Eviction Rules
Real estate investments are attractive, but renting out apartments involves a number of legal and tax pitfalls. With new legislation effective from 2026, an accelerated eviction procedure for non-paying tenants is being introduced. This article will guide you through the key obligations, tenant screening, and effective steps to protect your investment and deal with problems.

Table of contents
Quick summary
- You must tax rental income under Section 9 of the Income Taxes Act at a rate of 15% to 23%. Otherwise, you risk additional tax assessments and penalties.
- A well-drafted lease agreement is your strongest protection. It must clearly define payment terms, sanctions, and the procedure upon termination of the lease.
- From 1 January 2026, you can use expedited court proceedings to have the property vacated. This applies where rent has not been paid for at least three months.
- Thorough screening of the tenant before signing the agreement will give you peace of mind and reduce the risk of future issues. Check registers, references, and the applicant’s financial stability.
Lease agreement as the key document
The lease agreement is a key document for landlords. Unfortunately, many apartment owners underestimate it or download a template from the internet without deeper understanding. This is a mistake that often proves costly later on.
Under the Czech Civil Code (Section 2235 of Act No. 89/2012 Coll., the Civil Code), a lease agreement for an apartment must be in writing. Even without it, the lease will arise, but in the event of a dispute you will become very vulnerable and proving the terms will be difficult. The agreement must include several essential elements.
These include identification of both parties (name, address, birth number or company ID of both the landlord and the tenant), an exact description of the apartment (address, floor, area, appurtenances such as a cellar or parking space). It must also state the amount of rent and the method of payment, the agreed term of the lease (fixed-term or indefinite), the date of execution, and the signatures of both parties.
Attorneys from ARROWS advokátní kancelář point out that, in practice, agreements often contain provisions that infringe the tenant’s rights. Under Czech law, such provisions are “disregarded” – i.e., they are not legally enforceable. Such cases then lead to unnecessary disputes or to the inability to effectively enforce your rights. If you are unsure about how rights and obligations are set in a lease agreement, a consultation within real estate law may help.
Practical tip: The agreement should clearly define responsibility for routine repairs and maintenance. Government Regulation No. 308/2015 Coll., defining the terms routine maintenance and minor repairs related to the use of an apartment, sets a limit for minor repairs. For 2026, the total cost of minor repairs must not exceed CZK 100/m² of the apartment’s living area per calendar year.
For an apartment with an area of 60 m², the annual limit is therefore CZK 6,000. If the agreement states that these repairs are paid by the tenant, it should mention the limit. Otherwise, there is a risk of a dispute over who bears the costs.
Contractual penalties and security deposit
Many landlords ask whether they can agree in the contract on a contractual penalty for non-payment of rent or late handover of the apartment. The answer is: yes, but subject to conditions. Under the Czech Civil Code (Section 2254(1) of Act No. 89/2012 Coll., the Civil Code), the amount of the security (deposit) must not exceed three times the monthly rent.
Contractual penalties are added to this amount, and it must be borne in mind that a court may reduce an unreasonably high contractual penalty. Example: If the monthly rent is CZK 15,000, you may require a deposit of up to CZK 45,000 (three times). For the broader context (e.g., when a short-term rental may shift into a business regime and what tax risks follow), see also Short-term rentals versus a standard lease 2026: When does a landlord become self-employed and what are the hidden tax risks. The contractual penalty is then a separate receivable and should be proportionate and purposeful.
The deposit (security) serves as protection for the landlord. After the lease ends, you must return it including statutory interest, provided the tenant has no arrears in rent or services and any damage does not exceed normal wear and tear (Section 2254(2) of the Civil Code). Normal wear and tear means natural deterioration caused by normal use.
This includes, for example, slightly torn wallpaper or mildly worn carpets. If you want to retain the deposit to cover damage or debts, you must justify it with specific documents and provide the tenant with a written statement. Without this, you risk litigation and an obligation to return the money including interest.
Landlord’s tax obligations
Rental income is not “hidden money”. The Czech Financial Administration knows that you rent out property and has data on transfers from tenants’ accounts. If you do not meet your tax obligations correctly, you can expect additional assessments, fines, and penalties. In practice, it is worth verifying the procedure with specialists in tax law, especially if you combine multiple types of income or claim actual expenses.
Taxation of rental income
Rental income is taxed under Section 9 of Act No. 586/1992 Coll., on Income Taxes, at a rate of 15% of the tax base. For individuals with high income (for 2026, the threshold is expected to be income exceeding 48 times the average wage, which could be around CZK 2,000,000 per year), a rate of 23% applies to income exceeding this threshold.
You can claim expenses in two ways. The simplest way is flat-rate expenses (30% of income). If rental income is, for example, CZK 240,000 per year, you can deduct CZK 72,000. The advantage is that you do not have to keep complex records.
The upper limit for the flat-rate deduction is CZK 600,000 per year (Section 7(7) of the Income Taxes Act). If you exceed this threshold, you can claim only CZK 600,000 even if 30% of your income would be higher. The second method is actual expenses, where you must prove all relevant costs.
Relevant costs include interest on a loan used to purchase the apartment, repairs and maintenance, property insurance, management, real estate tax, and similar items. Each expense must be documented. A practical view of reviewing lease agreements and risks before buying an apartment for rental purposes is also summarised in the article How to invest in rental housing: What to watch out for when reviewing lease agreements before acquisition. Here, you should also pay attention to depreciation of the property, which can significantly reduce your tax base.
Important note: Utilities and services (water, heat, electricity, gas) that you re-invoice to the tenant are not your expense, as you merely pass them through. They are not included in the tax base.
Filing a tax return
You must file your tax return by 31 March of the year following the tax period (i.e., for 2025 by 31 March 2026) if you file in paper form. If you file electronically (via a data box or electronically with verified identity), the deadline is extended to 2 May (for 2025 by 2 May 2026).
If your return is filed by a tax advisor, the deadline is 1 July (for 2025 by 1 July 2026). If you miss the deadline, you will face a late-filing penalty. The Financial Administration also automatically monitors whether the level of your income and expenses corresponds to your assets and overall situation.
Exception: If you have no other income and your rental income did not exceed CZK 50,000 per year, you do not have to file a tax return at all. However, if you are an employee or a self-employed person (OSVČ) with other income, the limit is reduced to CZK 20,000.
Many investors focus on complex tax planning and structures when the most important thing is to ensure basic legal compliance. Errors in tax returns are common and correcting them is time-consuming. It is better to invest a few thousand Czech crowns in a consultation with an expert than to face penalties and late-payment interest later.
Accelerated eviction proceedings from 2026
In January 2026, an amendment to the Czech Code of Civil Procedure entered into force, introducing accelerated proceedings for eviction of real property in clearly defined cases. This is a shortened court procedure intended to prevent lengthy and complex proceedings where the facts are clear and the tenant is not paying.
What accelerated eviction proceedings are
Accelerated eviction proceedings allow the court to issue a decision ordering the tenant to vacate the property in a significantly shorter time than in standard contentious proceedings. The court primarily assesses the written evidence submitted by the landlord. However, the tenant always has the right to respond to the claim and submit their own evidence.
For the court to conduct such proceedings and decide quickly, you must meet four key conditions: You must be the owner of the property and prove this with an extract from the Cadastral Register. The lease must be demonstrably terminated either by expiry of the contract or by a valid notice of termination.
The court must see that the lease ended in accordance with Czech law. The tenant was duly requested to vacate. Before filing the claim, the tenant must have been served with a written request to vacate the property, ideally well in advance (e.g., 14 days). Finally, the tenant is in fact still occupying the property even though they no longer have a right to it.
Practical impact: If you have all documents in order and the tenant does not demonstrate relevant reasons for remaining, the court may decide within weeks, not months or years as in full court proceedings. This means a drastic acceleration, especially compared to the situation before 2026.
Procedure after the court decision is issued
Once the court issues a decision ordering eviction (a judgment) and it becomes final, you can immediately contact a court bailiff, who will arrange the forced eviction. If the tenant files an appeal, the court will address their objections.
However, the tenant must specify concrete reasons in the appeal and provide evidence—general disagreement is not enough. Practical warning: If you are missing at least one of these documents—the lease agreement, a valid notice of termination, proof of service of the notice, the request to vacate, or proof of its service—the court will refuse accelerated proceedings.
You will have to revert to standard contentious proceedings, which is why it is absolutely critical to have all documentation in order even before non-payment arises.
Dealing with a non-paying tenant
A non-paying tenant is one of landlords’ most common concerns. The Czech legal system provides a clear procedure, but it must be followed precisely.
Written demand for payment of the debt
As soon as the tenant starts paying late, do not delay and write to them in writing. This demand should include the date sent, the tenant’s name and address, details of the outstanding amount (for which period, how much), and a specific payment deadline (usually 7–14 days).
It should also include a warning of the legal consequences in the event of non-payment (e.g., termination of the lease). Send the demand by registered mail with return receipt or via a data box—the proof of service is decisive. In practice, you can also send a reminder by email, but a paper trail is safer.
It often happens that the tenant forgot to pay, has an issue with their bank account, or simply let it slip. Such a demand will often prompt them to act.
Offering an instalment schedule
If the tenant responds and claims they only have temporary difficulties, you may offer an instalment agreement. An instalment agreement is an agreement in which the tenant acknowledges the debt and undertakes to repay it in specified instalments.
If you have this agreement drawn up by a notary in the form of a notarial deed with consent to direct enforceability, you can later proceed with enforcement without court proceedings if the tenant stops paying again. This is a very effective tool.
Termination of the lease
If the tenant does not get back on track or the debt persists, it is time to terminate the lease. Czech law distinguishes between two types. Termination with a three-month notice period is used in less serious cases where the tenant breaches their obligations but it is not particularly serious conduct (Section 2288(1)(a) of the Czech Civil Code).
An example would be repeated late payments. You give the tenant three months to move out. Termination without a notice period (immediate termination) is only possible in serious cases (Section 2291(2) of the Czech Civil Code). One of these is non-payment of rent and services for at least three months (or an amount equal to three months’ rent and service advances).
In such a case, the tenant must leave the apartment without undue delay once the lease ends upon service of the termination notice. The termination notice must always be in writing and must be properly served on the tenant. If you do not have proof of service, the termination may not be legally effective. We recommend registered mail with return receipt, which is the standard proof of service.
Using accelerated eviction proceedings
If the tenant does not leave the apartment even after the notice period expires (or immediately after immediate termination), you will use accelerated eviction proceedings. Gather all documents (the lease agreement, the termination notice, proof of service, the request to vacate, and proof of its service) and file an eviction claim with the locally competent court.
If everything is in order and the tenant does not demonstrate justified objections, the court will issue a decision within weeks. Subsequently, if the tenant still refuses to leave the apartment, you can contact a court bailiff.
Enforcement proceedings and physical eviction
If you get this far, the physical eviction is handled by the court bailiff. They will ensure that the tenant leaves the apartment. If necessary, the police will also be present. All enforcement costs are borne by the tenant.
Warning: You cannot “take the apartment back yourself”—for example by taking the keys, removing the tenant’s furniture, or cutting off electricity. This is a violation of civil rights and you risk criminal liability for unauthorized use of another person’s property or interference with the inviolability of the home. As paradoxical as it sounds, legal procedures are the only lawful route in this case.
Tenant screening: Prevention
The surest way to avoid problems with a non-paying tenant is not to accept them in the first place. Special attention should be paid to checking the applicant before you sign the contract.
Verification of information about the tenant
Without the applicant’s consent, you can check the Insolvency Register (ISIR, free of charge at justice.cz) and the Central Register of Enforcement Proceedings (CEE, for a fee). If the applicant is in insolvency proceedings or subject to enforcement, it is a strong risk signal.
Call their previous landlord to confirm that the person was a good tenant. A written reference can be easily forged, but a phone call will reveal any inconsistencies. Ask about employment, source of income, and length of time with the employer.
An employment contract or a bank statement can provide insight. If the tenant’s income is significantly lower than the rent (ideally, they should have an income at least three times the rent), it is an increased risk. Although it is not standard practice, you have the right to ask the applicant for an extract from the Criminal Register. If they refuse or become irritated, it is a warning sign.
Selecting a reliable tenant
If you have multiple applicants, choose the one with whom you communicate best and who shows the greatest financial stability. It is better to have lower rent and a reliable tenant than high rent and constant stress.
Attorneys from our Prague-based law firm advise landlords to devote at least as much time to screening as they would to choosing a mortgage. Given the potential losses, investing in screening pays off many times over.
Related questions on dealing with non-paying tenants
1. What happens if the tenant owes only one month’s rent?
One month of delay on its own is not a reason for termination without a notice period. A court would have to assess whether it is an isolated incident or part of a long-term breach. However, if you agree on a contractual penalty for late payment, you are entitled to enforce it immediately. If it involves repeated late payments (e.g., several times a year), it may be grounds for termination with a three-month notice period (Section 2288(1)(a) of the Czech Civil Code).
2. Can I take the keys and change the locks if the tenant does not pay?
Absolutely not. This violates the tenant’s right to use the apartment and you risk breaking the law yourself (the criminal offence of violating the inviolability of the home). You must proceed through legal channels via notice of termination and, if necessary, court proceedings. As paradoxical as it sounds, legal procedures are the only lawful route in this case.
3. How long does it take to get rid of a non-paying tenant in 2026?
With the accelerated eviction procedure, it should take significantly less time than in the past—typically 2–4 months from a valid termination notice to physical vacating, provided there are no complications and the tenant does not put up effective resistance. Without the accelerated procedure (i.e., in standard contentious proceedings), it is more likely 6–18 months.
Overview of issues and ARROWS solutions
|
Potential issues |
How ARROWS helps (office@arws.cz) |
|
Unclearly drafted lease agreement – Key elements are missing, obligations in the event of non-payment are not defined, or it contains provisions that infringe the tenant’s rights and are not legally enforceable |
ARROWS attorneys prepare comprehensive lease agreements tailored to your needs, with a focus on protecting the landlord. The agreement includes clear payment terms, procedures for non-payment, penalties, and all provisions in line with the current legal framework under Czech law. |
|
Errors in the tax return and risky interpretation of expenses – The landlord is unsure what can be deducted, whether they exceed the lump-sum limit, or whether their expenses are deductible |
We provide legal and tax advice for rentals with specific recommendations for your case. We will ensure your tax return is correct and that you do not pay unnecessary penalties. |
|
Lack of awareness of the new accelerated procedure from 2026 – The landlord uses the old and lengthy eviction lawsuit process when they could use the faster accelerated procedure |
We will represent you in filing an eviction claim and oversee all procedural deadlines and formalities. Thanks to our experience, we will achieve a decision in the shortest possible time. |
|
The tenant does not disclose their financial situation in advance – The landlord has no overview of the applicant’s solvency and later experiences non-payment of rent |
We offer due diligence on business partners with access to relevant registers and databases. We will help you select a reliable tenant and minimise risk. |
|
Dispute over the security deposit and its return – After the lease ends, the landlord states they are holding the deposit for repairs and the tenant disagrees with the justification or the amount |
We represent landlords in negotiations on settling the security deposit with the tenant and, if necessary, in court disputes over its return. We will ensure the return is handled in accordance with Czech law and with proper settlement. |
Tax aspects: long-term and short-term rentals
In recent years, short-term rentals via platforms such as Airbnb have become more popular. However, a completely different legal regime applies here, which deserves special attention.
Long-term rental
Do you rent out an apartment for months or years and the tenant uses it for housing without additional services (e.g., cleaning, linen changes)? This is rental income under Section 9 of the Czech Income Taxes Act. Such income is not subject to social security and health insurance contributions, which is significantly more advantageous.
The tax is 15% (or 23% for higher income). You can claim expenses as a lump sum (30%, max CZK 600,000) or actual expenses. No trade licence is required.
Short-term rental (Airbnb, Booking)
Do you rent out an apartment to tourists for days or weeks and provide additional services such as cleaning, linen changes, or breakfast? Then it is an accommodation service and therefore business income under Section 7 of the Czech Income Taxes Act. This means you must obtain a trade licence or, if you have an older authorisation, register as a self-employed person (OSVČ).
You are subject to social security contributions (the minimum monthly advance payment for self-employed persons as a main activity in 2026 is expected to be around CZK 4,000, but it is usually higher depending on income) and health insurance (the minimum monthly advance payment for 2026 is expected to be around CZK 3,200). Although the income tax rate is the same (15–23%), the lump-sum expense allowance is up to 60% (maximum CZK 1,200,000, if you have a trade licence).
In the case of high turnover (for 2026, the limit is expected to be CZK 2,000,000), you may also be required to register for VAT and be classified as an identified person for VAT purposes. The Financial Administration automatically monitors Airbnb, Booking and other platforms—their data is reported to the Czech tax authorities under EU rules (DAC7). If you fail to meet your tax obligations, you may also receive retroactive additional assessments for previous years, together with penalties.
Practical example: You rent out an apartment for CZK 1,000 per night during the tourist season. You earn CZK 100,000 per year. If it is a long-term residential lease without services, the tax is 15% of CZK 70,000 (after the 30% lump sum) = CZK 10,500 per year.
If it is a short-term rental as a business, the tax is 15% of CZK 40,000 (after the 60% lump sum) = CZK 6,000, but you must pay minimum advances for social security (e.g., approx. CZK 48,000 per year) and health insurance (e.g., approx. CZK 38,400 per year). In such cases, attorneys from ARROWS, a Prague-based law firm, recommend a clearly drafted agreement that defines the nature of the rental in advance (housing vs. accommodation) to avoid reclassification by the Czech tax authorities.
Insurance and investment protection
Do not overlook insurance, even though many landlords do not want to deal with it. It is a critical layer of protection.
Property insurance
Property insurance protects you as the owner against damage to the building itself – fire, flooding, windstorm, vandalism. If a tenant forgets something on the stove and the apartment burns down, property insurance will protect you.
If you do not have this insurance, you must bear all restoration costs yourself. Investing in insurance usually pays for itself with the first incident.
Tenant liability insurance
We expressly recommend agreeing in the lease agreement that the tenant must have liability insurance for damage they cause to third parties – e.g., if they flood a neighbour’s apartment or damage the apartment’s fixtures beyond normal wear and tear. If they do not have it, you may be the party primarily liable for the damage to the neighbour, even though you can subsequently seek recourse from the tenant. With the tenant’s liability insurance in place, you can be much more at ease.
Legal changes from 2026
The year 2026 brought several new developments that directly affect landlords in the Czech Republic.
Rules for minor repairs
Government Regulation No. 308/2015 Coll., on defining the terms routine maintenance and minor repairs related to the use of an apartment, was updated and confirmed the limits for minor repairs paid by tenants. For an apartment with an area of 60 m², this means an annual maximum of CZK 6,000 (CZK 100/m²).
It also remains the case that each individual minor repair up to CZK 1,000 counts towards the annual limit and is paid by the tenant; however, if the repair costs exceed CZK 1,000, it is not a minor repair and is paid by the landlord in full. This means that if the tenant reports a repair costing CZK 1,500 (for example, replacing a socket), the landlord pays the entire amount.
If it is a repair costing CZK 5,000, it is paid by the landlord, as it exceeds both the annual limit and the limit for an individual repair, if it were a specific type of repair.
Rent increase and inflation clause
The law provides that you may not increase the rent by more than 20% over three years (unless otherwise agreed in the contract or unless the rent does not reach the usual rent in the given location). However, with an inflation clause, this restriction does not apply – the rent increases automatically in line with inflation based on data from the Czech Statistical Office.
If you want to agree such a clause, the lease agreement must clearly define which index it follows and how the increase is carried out.
Conclusion
Letting apartments is a lawful and often profitable way to increase the value of your assets. However, the legal and tax complexity of this business is often underestimated. Errors in the lease agreement, lack of knowledge of tax obligations, ignoring the new accelerated eviction procedure from 2026, or insufficient tenant screening – all of this leads to immeasurable losses, court disputes, and severe stress.
In practice, we encounter cases every day where landlords “played around” with the law to save on lawyers and ended up in a position where they cannot get rid of a non-paying tenant. They did not always complete their tax return or handled the security deposit incorrectly. This then backfires at a multiple of the cost.
If you want to operate safely in the rental market and with the confidence that you have legal backing, it is advisable to contact an attorney already at the preparation stage – i.e., before you take on a tenant. Our attorneys in Prague can help you draft a high-quality lease agreement, advise you on tax obligations, and explain your rights. If problems with a non-paying tenant arise later, you will have a partner in us who will represent you in the accelerated procedure and make it easier for you to get back to possession of the apartment.
If you have questions or would like to consult your specific case, please contact the attorneys from our Prague-based law firm at office@arws.cz. Without a long-term legal partner in the area of rentals, you are unnecessarily complicating your path to profit.
FAQ: General questions and tax aspects of renting
1. Do I need to have the lease agreement in writing, or is an oral agreement sufficient?
Under the Czech Civil Code, a lease agreement must be in writing . Without this, the lease will still arise, but in the event of a dispute it cannot be easily proven. An oral agreement is not sufficient protection and will not protect you in a dispute. Always have the agreement drafted and signed by both parties.
2. What are the landlord’s ongoing obligations towards the tenant?
You must ensure the tenant’s peaceful and undisturbed use of the apartment. This means the apartment must be in such condition that they can live there without problems. Major repairs (radiators, windows, main distribution board) are your responsibility. You should also ensure that the common areas of the building are functional. If you fail to maintain the property, the tenant has the right to point this out and, in extreme cases, to have the repairs carried out and deduct the amount from the rent (Section 2266 of the Czech Civil Code).
3. What happens if there are multiple owners of the apartment and we want to rent out a shared apartment?
If the apartment is part of the spouses’ community property, rental income is taxed only for one of the owners (spouses), whom you choose. Typically, choose the one with lower other income to optimise the tax burden. If the apartment is co-owned (e.g., by siblings), each co-owner taxes the income in proportion to their share. We recommend clarifying this situation with a tax adviser.
4. Can I finance an apartment with a mortgage and then rent it out?
This is common practice, but you need to verify whether your mortgage agreement allows it. Many banks lend money “for owner-occupied housing”, and renting without their consent could be a breach of contract. Contact your bank – renting is usually not a problem, but you must inform them. At the same time, be aware that you can claim mortgage interest as an expense if you choose actual expenses (not the flat-rate method).
5. What if the tenant suddenly vacates the apartment and leaves a lot of rubbish and belongings behind?
If the tenant leaves the apartment without notice and leaves items behind, this is a situation where the items are no longer within their control. You should thoroughly photograph and document the condition. You can then use part of the security deposit to cover cleaning and waste disposal. You must return the remaining deposit plus interest. If the deposit is insufficient, the remaining costs can be recovered through court proceedings.
6. How is rental income taxed if I am part of a housing cooperative rather than the owner?
As a member of a housing cooperative, you have the right to use your unit and rent it out, but you are not the owner. In this case, the income arising from renting a cooperative apartment is taxed by the tenant of the cooperative apartment, i.e., the cooperative member. The tax regime is the same – under Section 9 of the Czech Income Taxes Act as rental income. However, you must have the cooperative’s permission to sublet the cooperative apartment (Section 2272 of the Czech Civil Code).
7. What are the most common mistakes in lease agreements?
Landlords often forget to specify the procedure in the event of non-payment of rent, precisely define which repairs are paid by the tenant and which by the landlord, or fail to mention the possibility of increasing the rent. Similarly, they often do not set out clear conditions for paying and returning the security deposit. Attorneys from our Prague-based law firm prepare agreements that cover all real-life situations and protect landlords. You can have your current agreement reviewed on a non-binding basis at office@arws.cz.
8. Can I charge a contractual penalty for late handover of the apartment?
Yes, but provided that the contractual penalty is reasonable and serves a legitimate purpose. It is important to bear in mind that the security deposit must not exceed three times the monthly rent under Czech law. If you want to secure penalties for non-payment or delay, we recommend that this is clearly set out in the lease agreement. The attorneys at ARROWS can help you structure penalties so that they are legally enforceable and fair. Email office@arws.cz.
9. What tax-deductible expenses can I claim from rental income?
You can claim a flat-rate expense deduction of 30% of income (up to CZK 600,000 per year). Alternatively, you can claim actual expenses: mortgage interest, repairs and maintenance, insurance, real estate tax, and property management. Not utilities and services that you re-invoice to the tenant. In any case, we recommend consulting a professional to ensure your expenses are accepted. Our Prague-based law firm provides legal and tax advice – contact office@arws.cz.
10. Does the tenant have to have liability insurance?
The law does not impose this directly, but it is strongly recommended to agree on it in the lease agreement. If the tenant floods a neighbour and does not have insurance, you as the landlord may be treated as liable, even though you have a right of recourse against the tenant. A clear contractual requirement will help protect you. Our Prague-based law firm will help you draft it properly – email office@arws.cz.
11. How does taxation differ between short-term and long-term rentals?
Long-term rental without services (housing) is exempt from health and social insurance contributions; income tax is 15–23%, with flat-rate expenses of 30% (max. CZK 600,000). Short-term rental with accommodation services is considered a business activity in the Czech Republic – you must register as a self-employed person (OSVČ), you pay social and health insurance (minimum monthly advances in the thousands of CZK), income tax is 15–23%, but flat-rate expenses are 60% (max. CZK 1,200,000). If you are unsure how your rental should be classified, consult an attorney from our Prague-based law firm – email office@arws.cz.
Notice: The information contained in this article is of a general informational nature only and is intended for basic guidance based on the legal situation as of 2026. Although we take great care to ensure maximum accuracy, legal regulations and their interpretation evolve over time. We are ARROWS advokátní kancelář, an entity registered with the Czech Bar Association (our supervisory authority), and for maximum client protection we maintain professional liability insurance with a limit of CZK 400,000,000. To verify the current wording of regulations and their application to your specific situation, it is necessary to contact ARROWS advokátní kancelář directly (office@arws.cz). We accept no liability for any damage arising from the independent use of the information in this article without prior individual legal consultation.
Read also:
- Long-Term vs Short-Term Rentals: Tax, Own-account Worker Status and Legal Risks
- Buying Property with a Tenant in Place: Key Lease Risks Under Czech Law
- Technical Improvements in Leased Offices: Legal and Tax Risks in Czech Law
- Buying Czech Real Estate Through a Company: Why It Still Makes Sense in 2026
- Buying an apartment in Czechia Key contract risks and attorney escrow