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The 2021 tax package

22.12.2020

On 22 December 2020, the Chamber of Deputies approved the 2021 tax package that the Senate had returned to the Chamber of Deputies with some changes to it to be discussed again. The Senate changed the bill approved by the Chamber of Deputies (see our news on our web pages dated 24 November 2020) in the following points:

  • Change to the basic tax relief to income tax; the Senate changed the relief to CZK 27,840 in 2021 and CZK 30,840 in 2022; and
  • The Senate did not approve a change relating to exemption of paid securities trading suggested by MP Mikuláš Ferjenčík (i.e. the Senate did not approve introduction of the limit of CZK 20 million for the exemption of income from paid securities trading).

The last step is the president's signature. According to the president's earlier announcement, it is not expected that he will sign the bill but he will not veto it either so the bill will come into effect anyway.

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