Notification of entry into the flat-rate scheme

Main information

If you are a self-employed person (i.e. OSVČ), you may voluntarily enter the flat-rate scheme, in which you pay, through a single monthly payment, an advance on income tax together with mandatory contributions to social security and health insurance. The amount of the flat-rate advance depends on the flat-rate band - see the "Frequently Asked Questions" section.

To enter the flat-rate scheme, you must meet the following legal conditions:

  • your annual business income does not exceed CZK 2 million,
  • you are not a VAT payer and have no VAT registration obligation, with the exception of the registration obligation of an identified person,
  • you are not a partner in a general partnership or a general partner in a limited partnership,
  • you are not a debtor in insolvency proceedings,
  • as of the first day of the relevant taxable period, you do not carry out any activity that generates income from dependent activity, except income subject to withholding tax under a special tax rate,
  • in the taxable period immediately preceding the relevant taxable period, you did not exceed the relevant income for the selected flat-rate scheme band, with the exception of tax-exempt income, income that is not subject to tax, and income from which tax is withheld at a special tax rate,
  • if you started your business activity during the year, you must not have had, in the part of the relevant taxable period before the commencement date, any income from dependent activity (not subject to withholding tax) or taxable income from capital assets, rent, or other income not subject to withholding tax, totalling more than CZK 50,000
If you are starting (or restarting) self-employment and have not yet notified the relevant social security administration and your health insurance company, you can do so via this notification of entry into the flat-rate scheme.
By submitting notification of entry into the flat-rate scheme, you can also sign up for voluntary participation in sickness insurance. Participation in sickness insurance is voluntary and starts on the date you apply, but not before the date on which your application is submitted. Payment of sickness insurance premiums is not included in the flat-rate monthly payment.

This applies to you if

You are a self-employed person who meets the relevant legal conditions and you want to use the flat-rate scheme.

When to use this service

Submit the Notification of entry into the flat-rate scheme:

  • by 10 January of the relevant taxable period if you are already self-employed,
  • by the date on which you start or resume self-employment, if you have only just started that activity or if you have interrupted that activity and are resuming it within the same taxable period.
If you submit the Notification of entry into the flat-rate scheme after 10 January of the relevant taxable period, or after the date on which you first commence/resume activity, this Notification is ineffective and you cannot use the flat-rate scheme in that calendar year.
If the last day of the deadline falls on a Saturday, Sunday, or public holiday, the next working day becomes the final deadline.

Vyřízení služby - elektronicky

What you need if you are using this service

The Notification of entry into the flat-rate scheme form available on the MOJE daně portal.

Where and how to solve this service

You can submit the Notification of entry into the flat-rate scheme via:

If you are a natural person who has not been assigned a data mailbox by law, you can also submit the Notification via:

When submitting via a data mailbox, you must always ensure that the notification is submitted in the published XML format and in the specified structure. To create the required XML file, you can use the electronic form in the Electronic Submissions for the Financial Administration (EPO) app.
If you are commencing or resuming a business activity, you can also submit the Notification of entry into the flat-rate scheme via the Trade Licensing Office.

How much will you pay

None

Vyřízení služby - osobně

What you need if you are using this service

The Notification of entry into the flat-rate scheme form, which is available on the website of the Financial Administration.

Submission in person or by post is possible only if you are not legally required to submit a Notification of entry into the flat-rate scheme electronically.

Where and how to solve this service

You can submit the completed and signed Notification of entry into the flat-rate scheme in person at the filing office or by post to the address of the locally competent tax office.

How much will you pay

None

Additional information

What is the benefit of this service

By using the flat-rate scheme, you reduce your administrative burden in fulfilling your income tax and public insurance obligations, as you pay your income tax advances and mandatory social security and health insurance contributions in a single monthly payment. At the same time, you will no longer be obliged to submit a personal income tax return and related health and social insurance statements if the conditions for assessment of the flat-rate tax are met.  

Appeal options

No appeal may be lodged against this service.

Legislation

Sanctions

None

Frequently asked questions

What is the flat-rate scheme?

The flat-rate scheme is a special scheme available to self-employed persons (i.e. OSVČ) who voluntarily enter it and subsequently pay a single monthly payment covering both income tax advances and mandatory contributions to social security and health insurance. Self-employed persons in the flat-rate scheme are not required to submit a personal income tax return or the related social and health insurance statements, provided the conditions for assessment of the flat-rate tax are met. In the flat-rate scheme, it is not possible to apply expenditure allowances or tax credits.

Where can I find more information on electronic submissions?

Further information on electronic submissions is available on the website of the Financial Administration of the Czech Republic.

What are the different bands of the flat-rate scheme and what conditions apply to them?

Detailed information on the flat-rate scheme bands and conditions of the flat-rate scheme is available on the website of the Financial Administration of the Czech Republic.