Czech Republic: increase in real estate tax

Czech Republic

From 1 January 2010, real estate tax has been substantially increased, with no exemption for new buildings from this date.

There is no change in the rate of real estate transfer tax, which remains at 3%.

The standard rate of real estate tax has been doubled for:

  • land plots registered as built-up areas, courtyards, building plots and other areas
  • all flats and buildings (except buildings designed for another business use, which would not cover, for example, industrial or construction industry usage)

The standard tax rate is multiplied by a factor according to the number of inhabitants in the relevant municipality. This factor can then be further increased by the local authority. In Prague, real estate tax has effectively been increased in most cases by 100%.



The taxpayer is always the registered owner, except in a few rare cases.