When working with international companies such as Meta (Facebook, Instagram), Google (ADS), Uber or Bolt taxi / foodEntrepreneurs often encounter the concept of an "identified person". Let us examine who falls under this status, what obligations arise and what to do if you are not a VAT payer.
Who is an identified person / "Identifikovaná osoba"?
What does this status mean?
An identified person is a natural entrepreneur (ŽL) or a legal person (s.r.o.) who is not a VAT payer (DPH) but is obliged to pay tax when receiving services from non-residents (foreign companies located outside the Czech Republic in the territory of the European Union.
What's it for?
This status is required if the company or entrepreneur receives services from foreign companiessuch as Meta, Google, Uber, Bolt, and others, who like toVAT to be paid (21% for 2025) for promotional or service fees.
In what cases does the need for registration arise?
Advertising in Meta and Google
If you advertise on Facebook, Instagram or Google Ads and you are not a VAT payer, you are are liable for VAT as an identified individual, there is essentially a need to register at that point, once you get the texture for the rendered service from another company located outside the Czech Republic in the EU territory.
Working at Uber and Bolt
Driversworking through Uber and Boltare also obliged to register as identified individuals and pay tax 21% DPH for the services they provide.
Legal justification for the status
This status is governed by tax laws, according to which non-residents (e.g. Meta, Google) do not pay VAT in the country of the customer, and The obligation to pay falls on the recipient of the service.
Procedure for registration of an identified person
Submitting an application
Registration is done online by submitting an application which can be found on the website fiscal The completed application form is submitted through the "datasheet" at the tax office at the place of registration of the entrepreneur/company.
Timeframe for review
Usually registration takes up to 10 working days, it may take a little longer, in case of prolongation we recommend to contact the tax office on this issue.
Taxes and liabilities of the identified individual
Tax rates
The VAT rate for 2025 is 21%. It must be paid on the amount spent on advertising or received for the provision of services to you by other companies located in the EU outside the Czech Republic.
Financial statements
The identified individual is required to file tax returns and pay tax by the 25th day - monthly.
How does the status of an identified individual differ from a VAT payer?
- Identified person pays VAT only on services rendered by non-residents.
- VAT payer pays tax on all taxable transactions.
How to pay taxes when working with Meta, Google, Uber, Bolt?
It is recommended to record all Meta and Google payment transactions, as well as revenue from Uber and Bolt.
Tax returns are filed once a month and tax is paid by the due date.
Liability for failure to register
Failure to register as an identified individual can lead to penalties and interest charges for unpaid VAT retrospectively.
How to avoid mistakes when registering?
- Consult an accountant for proper paperwork.
- Review your tax liabilities regularly.
Conclusion recommendation
If you partner with Meta, Google, Uber or Bolt and are not a VAT payer, Registration as an identified person is a mandatory requirement. This will help avoid fines and ensure that your business is run legally.
Frequently Asked Questions (FAQ)
1. Do I need to register if I spend small amounts on advertising? Yes, the law does not set a minimum threshold.
2. How often do I need to file a declaration? Monthly, by the 25th of the following month.
3. Is it possible to work without registration? This threatens penalties and additional tax assessments, in case of an audit you will still be obliged to pay the tax that was not paid in time.
4. Who can help with the design? Accountant or tax advisor, feel free to contact us for assistance, always happy to help.
5. How do I pay the tax? The tax is paid through the bank account by the due date (by the 25th day of the following month)