Tax residence (daňový domicil) is the country where you are treated as a tax resident and pay tax on your income. It determines which income is taxed in the Czech Republic and whether you can apply double tax treaties.
How residence is determined in the Czech Republic
You are a Czech tax resident if at least one condition is met:
- you have a permanent home in the Czech Republic (a house or flat at your disposal);
- you habitually stay in the Czech Republic — at least 183 days in a calendar year (the days are added together, not necessarily consecutive).
A residence permit or a registered address alone does not mean tax residence: what matters is actual presence and your ties to the Czech Republic.
Resident versus non-resident
- A resident pays tax on worldwide income, including income earned abroad, subject to double tax treaties.
- A non-resident pays tax only on income from Czech sources.
If your home country also treats you as a resident, the treaty between the two countries applies. It decides the “main” country using a sequence of tests — permanent home, centre of vital interests, habitual abode, nationality.
Why you may need a tax residence certificate
A certificate (potvrzení o daňovém domicilu) is needed to:
- apply reduced rates or exemptions under a double tax treaty;
- confirm your status to foreign payment platforms, banks and counterparties;
- claim credit for tax paid in another country;
- prove your status when dealing with the tax authorities of another country.
The certificate is issued by the tax office on application. The time it takes depends on the office’s workload, so apply in advance.
What if you have income both in the Czech Republic and abroad
You must decide where and at what rates it is taxed and report it correctly in your return. A mistake leads either to double taxation or to additional assessments and penalties. We help determine your status, prepare the certificate and file the annual return with credit for foreign tax.
