Czech Freelancers Face a High-Stakes Tax Choice in January 2026

[etfs]

As 2026 begins, self-employed workers in Czechia must make a crucial decision by January 12 that will shape their entire tax year. By this deadline, freelancers must either opt into or exit the flat-rate tax system (Paušální daň). Missing the cutoff means staying locked into the current tax regime until 2027, with no room for adjustments, according to guidance from the Czech Financial Administration.

For freelancers earning up to CZK 1 million annually, the flat-rate tax now costs CZK 9,984 per month and bundles income tax, health insurance, and social insurance into a single payment. While this simplifies administration, it eliminates all deductions, including those for children, mortgages, and insurance. The system favors solo freelancers with low expenses and stable income, but for those with families, higher costs, or fluctuating earnings, the traditional expense-based method may still result in lower overall taxes despite added paperwork.

[cryptohog]

that jan 12 deadline is brutal, miss it and you’re stuck for a whole year no matter what