Payroll Newsletter - Archive 2025
You will find below all payroll and personal agenda related articles from 2025.
Mandatory employer contribution to retirement savings products for risk category 3
We informed you about this obligation in the previous issue of the Newsletter, but due to numerous enquiries, we are reminding you again.
Checklist for the 2025 payroll closing
We also provide an overview of the main HR and payroll tasks associated with the annual payroll closing, along with deadlines – ideal as a quick guide or checklist to help you ensure that nothing is overlooked.
Definition of a low-emission vehicle for tax purposes
From 1 July 2022, the value of non-monetary income for employees who use low-emission company cars has been reduced from 1% to 0.5% of the vehicle's purchase price. In addition, a special rate of 0.25% for electric cars was introduced on 1 January 2024. The change has brought savings in insurance premiums and taxes, while also promoting the use of more environmentally friendly vehicles with the aim of reducing greenhouse gas emissions.
Higher taxation of non-residents in company management
From 1 January 2026, there will be a change in the taxation of the income of members of statutory and supervisory bodies if these natural persons are tax non-residents of the Czech Republic. Until now, if a tax non-resident of the Czech Republic is a member of the statutory/supervisory bodies of Czech companies, their income is always taxed at a withholding tax rate of 15%.
Change in reporting work-related accidents from 1 January 2026
From 1 January 2026, there will be a change in the area of work-related accidents, which is closely related to the digitisation of this agenda. This mainly concerns the obligation to report work-related accidents exclusively electronically, via the portal of the State Labour Inspection Office ("the Office's portal"). In August 2025, the Czech Government adopted Government Decree No. 322/2025 Coll., Government Decree on the obligations of employers in the event of work-related accidents, which repeals the previous regulations governing this area.
NEWS IN HEALTH INSURANCE FROM 2026: What employers, employees and self-employed persons need to know
The year 2026 will bring the biggest changes to the public health insurance system in recent years. The definition of self-employed persons, employment conditions, minimum advance payments, deadlines, payment methods and administrative procedures will change. Below you will find an overview of the most important changes that will take effect on 1 January 2026.
Unified monthly employer reporting
Unified monthly employer reporting is a digitalisation project designed to serve as an effective means of communication between the state and business entities. Employers are required to provide information about themselves and their employees, which currently involves filling out and submitting many types of forms to various state institutions. The draft law from the Ministry of Labour and Social Affairs on the Unified Monthly Employer Reporting aims to significantly simplify administration. Instead of up to 25 forms, employers will only submit one report per month with all the necessary information, electronically. Another goal is more effective communication with the state.
Changes in reporting the hiring of foreign nationals from 1 October 2025
Changes in other important personal obstacles to work
In connection with the so-called Flexi-amendment, which fundamentally changed the Labour Code, some related regulations were also amended. Government Regulation No. 590/2006 Coll., which defines other important personal obstacles to work, was also amended. The changes took effect together with the Flexi-amendment on 1 June 2025.
Contractors – mandatory medical examinations from 1 June 2025 for risk category 2
On 1 June 2025, the so-called Flexi-amendment to the Labour Code came into force, along with other accompanying changes to laws, such as the Act on Specific Health Services. From June 2025, the obligation for employers to send employees who perform work in risk category 1 for initial medical examinations was abolished. However, due to an oversight, the exception for employment based on agreements concluded outside of an employment relationship (i.e. CFW and FWA) in risk category 2 was also removed, meaning that these employees must now also have a valid medical certificate before starting work.