Authors: David Krch, Martina Jelínková
An amendment to the Tax Procedure Code valid from 1 January 2021 has entailed a novelty among the standard deadlines for filing personal income tax returns to which we are accustomed (as of 1 April, or 1 July when filed by a tax advisor), namely the possibility for the taxpayer to file a tax return by 3 May 2021, however, only if it is filed electronically.
Electronic filing is considered filing via a data box, an EPO application with a verified identity, with a guaranteed identity or a recognized electronic signature, via a tax information box on the newly launched website Moje daně, but also via email with a recognized electronic signature.
Filings made, for example, via e-mail or EPO application without verification are also considered electronic filings if such filings are confirmed within 5 days by any of the above methods or in paper form in person or by post.
In order to extend the deadline until 1 July, the condition to submit to the tax office a power of attorney granted to a tax advisor by 1 April has been newly cancelled. It is sufficient for the power of attorney to be submitted to the tax office together with the tax return that will be prepared and filed by a tax advisor.
Power of attorney may also be submitted electronically by a proxy (tax advisor or attorney-at-law) via his/her data box without cooperation from the represented client – this was not possible before, and the power of attorney always had to be submitted by the represented individual NEBO tax payer.
New deadlines and procedures are also linked to new financial planning options with regard to the moment of tax maturity or tax overpayment refund. If in the past a tax advisor filed a tax return in March, it meant the assessment and maturity of the tax by 1 July and the refund of the tax overpayment by the end of July. From this year, in the case of filing a tax return by the taxpayer but also by a tax advisor by 1 April, the tax will be assessed and due by 1 April, and at the same time the tax overpayment will be refunded by the end of April.
In the past, natural persons with an established data box were obliged to file tax returns electronically. However, as of 1 January 2021, this condition has been relaxed and applies only to taxpayers with a data box established by law or with the obligation to have their financial statements verified by an auditor.
Summary of deadlines
| Filing method | Filing person | Filing period | Deadline for filing and tax payment | Deadline for tax overpayment refund |
| Both paper and electronic form | Both tax advisor and taxpayer | By and inclusive of 1 April 2021 | 1 April 2021 | 3 May 2021 |
| Electronic form | Taxpayer | After 1 April 2021 but no later than 3 May 2021 | 3 May 2021 | 2 June 2021 |
| Electronic form | Tax advisor | After 1 April 2021 but no later than 1 July 2021 | 1 July 2021 | 2 August 2021 |
The general deadline for filing reports of self-employed persons is within one month from the date on which the tax return was to be filed. If the taxpayer is represented by a tax advisor or an attorney-at-law, and thus files a tax return within the extended period, the Social Security Administration now no longer requires proof of representation by the end of April. This fact must be documented no later than with the filing of the report. For this purpose, a new field has been introduced in the report, asking exactly whether the tax return was filed by a tax advisor.
It is now also necessary to indicate the tax return filing date in the report. A self-employed person who is not obliged to file a tax return is obliged to file the report no later than 2 August 2021, in accordance with the Czech Social Security Administration’s instructions.
The opposite situation has occurred with health insurance, where it is still necessary to prove the representation by a tax advisor (e. g. a copy of the power of attorney) no later than 30 April 2021. A self-employed person who is not obliged to file a tax return must file the report by 8 April 2021.
According to the published instructions, some health insurance companies have not noticed the new deadline for electronic filing by the taxpayer by 3 May 2021, however, with reference to the general deadline of up to one month, it can be derived therefrom. Some health insurance companies (e.g., OZP) will also require an affidavit by a self-employed person confirming the electronic filing of a tax return.
a) 3 May 2021 if the tax return is filed by 1 April 2021 (by the tax advisor or taxpayer, in paper or electronic form);
b) 3 June 2021 if the tax return is filed electronically by the taxpayer after 1 April 2021;
c) 2 August 2021 if the tax return is filed electronically by the tax advisor or attorney-at-law after 1 April 2021.
We recommend that you carefully keep the confirmation of the tax return filing date to possibly document the relevant deadline for filing the report of self-employed persons. We also recommend paying attention to the careful completion of the new reports to be filed by self-employed persons.
Like last year, the Ministry of Finance has issued a decision waiving fines for the late filing of tax returns and interest on late payment of tax liability if these obligations have been fulfilled no later than 1 month later, specifically:
If the obligation to file a Announcement of Exempt Income has arisen within the deadline for filing a tax return, the non-penalty period associated with late filing is also extended by 1 month, depending on the deadline for filing a tax return specified above.
In the event of non-compliance with the obligations within the said extended deadlines, penalties as of the dates of the original deadlines will be imposed.
Všeobecná zdravotní pojišťovna (General Health Insurance Company) commented on the non-penalized, later filing of the tax return, stating that this extraordinary measure does not affect the deadlines for filing Reports of Self-Employed Persons, i.e. it is necessary to file them within the standard deadlines specified under letters (a) – (b) above.
Other health insurance companies (e.g., OZP, ZPMVČR) and the Social Security Administration have not yet responded to the above-mentioned extraordinary measures, and it is therefore not clear now whether possible penalties will be waived for the later filing of reports of self-employed persons following the non-penalized, later filing of the tax return.
