The new law reintroduces electronic sales recording from 1 January 2027 and introduces changes to VAT rates, employee benefits and tax deductions. It also provides relief for small merchants and revises penalties for non-compliance.
The Czech Republic has gazetted Act No. 180 of 9 September 2026 on Sales Records and Amendments to Certain Other Acts. The Act’s main measure is the reintroduction of electronic sales recording (Elektronická Evidence Tržeb – EET) requirements.
The Czech Republic’s new EET 2.0 sales recording requirements will take effect on 1 January 2027. Registration and certificate issuance will begin on 1 November 2026, followed by the launch of an EET web application on 1 December 2026. The previous requirements were introduced in 2016 but suspended during the COVID-19 pandemic and repealed in 2022.
As previously reported, the Czech Republic’s Chamber of Deputies approved the Sales Registration Act on 9 September 2026, overriding the Senate’s proposed amendments. The legislation was then submitted to the president for signature on 11 September 2026.
EET 2.0 covers in-person contact payments at physical business locations and vehicles. Online transactions are excluded. Paper receipts and offline reporting are eliminated in favour of a single real-time online reporting system. Free software will be available to small merchants. Penalties are also softened, with authorities no longer able to immediately close premises for non-compliance.
VAT and tax changes
Non-alcoholic beverages served in catering establishments will be subject to 12% VAT, while alcoholic drinks remain taxed at 21%. Employee tips will be exempt from income tax and social security contributions, subject to a 7% cap on monthly catering revenue. The reforms also restore the student and preschool tax credits and introduce a one-time CZK 5,000 deduction for self-employed individuals.
Employee benefits and VAT relief
Annual caps on non-cash employee leisure and wellness benefits will be removed, while vacation benefits will retain a CZK 20,000 annual cap. Businesses will also be able to claim VAT relief on unpaid invoices after three months instead of six. The debt threshold will increase to CZK 20,000, with an annual claim limit of CZK 100,000.
