Shrnutí: By how much did the property tax increase? In 2024, the statutory rates rose by approximately 80 percent; however, the resulting amount varied depending on the type of property and municipal coefficients. A significant increase had already occurred in 2010, when many rates doubled. In 2026, the inflation adjustment does not increase the tax. Here is an overview of the main changes and an explanation of why each property owner may pay a different amount.
| Year | What Has Changed |
|---|---|
| 1993 | The law on which the current real estate tax is based came into effect. |
| 2009 | Municipalities began using a local multiplier, which allowed them to increase the resulting tax. |
| 2010 | A number of statutory rates doubled. |
| 2014 | The previous term “real estate tax” was replaced by “property tax.” |
| 2024 | A consolidation package raised the rates by approximately 80%. |
| 2025 | The rules governing municipal coefficients changed, including the option to reduce the tax using a local coefficient below 1. |
| 2026 | The inflation coefficient remains at 1.0, so the tax does not increase for this reason. |
Are you unsure why your tax has changed or whether you need to file a new tax return? As part of our tax legal advisory services, we’ll assess the legal aspects of your situation with you and recommend the next steps.
To clarify exactly what tax we’re talking about: Property tax is a property tax that we pay simply based on the fact that we own real estate. It is therefore not related to the transfer, sale, or gift of real estate, nor is it an inheritance tax.
The Real Property Tax Act governs this tax. It stipulates that the taxpayer is any individual or legal entity that owns or uses real property (land or a building). It may be levied on both buildings or residential units and on land.
Are you planning to calculate your property tax? It’s not as difficult as it might seem at first glance. Our article will show you how to do it.
Anyone who has become the owner of a new property or has made a significant change to a property they already own must file a real estate tax return. This applies to:
The real estate tax return must be filed by January 31 of the year following the change. The return is filed only in the year when the new situation arises—in subsequent years, you do not need to file anything unless something has changed. The return is submitted to the relevant tax office based on the location of the property —not on your place of residence. You can file your property tax return in two ways—either electronically or on paper.
Fun fact: In the United Kingdom, there is a completely different property tax system. It is a local tax, so it is collected by local (municipal) authorities. The tax base is determined by the market rent value, whether notional or actual. The amount of the tax depends on the size, age, and type of property, as well as the tax band to which it is assigned. Interestingly, the tax is paid by the person occupying the apartment—which may include the tenant.
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The consolidation package increased the statutory property tax rates by approximately 80% starting in 2024. This corresponds to roughly 1.8 times the original level. However, this does not mean that every property owner’s final tax increased by exactly 80%.
The final amount was also influenced by the type of property and the coefficients in effect in a specific municipality. The increase in statutory rates also applied to properties in municipalities that had not established a local coefficient. The mere absence of a local coefficient, therefore, did not mean that the owner benefited from the change.
The Ministry of Finance had originally proposed the property tax increase with the aim of bolstering the state budget. The Union of Cities and Municipalities disagreed with this method of strengthening the budget, pointing out that property tax has traditionally been a tool that cities can use to increase their own budgets. Even now, the revenue from this tax is 100% municipal income. Furthermore, municipalities cover the costs of basic services associated with the use of real estate.
Why the tax could increase by more than 80%: Let’s imagine a property where a change in the tax rate alone would raise the tax from 1,000 Kč to 1,800 Kč. If the municipality were to simultaneously increase the local coefficient from 1 to 2, the resulting amount—all other conditions being equal—would be 3,600 Kč. Therefore, when comparing payments, it is not enough to simply track changes in the statutory rate. It is also necessary to verify the coefficients for the specific property and the relevant year.
Are you planning to file a real estate tax return? When and under what conditions are you required to file a tax return? And how do you go about filing it? We cover these topics in a separate article.
As we’ve already mentioned, one of the main factors that currently has a significant impact on the amount of property tax is the location of the property. The amount therefore varies depending on whether you live in Prague or, for example, in an apartment building in Horní Lhota. This is a coefficient that varies depending on the size of the municipality. It is determined based on the municipality’s population as recorded in the most recent census. The law establishes seven levels of coefficients, as follows:
In addition, municipalities may adjust the coefficient themselves by municipal ordinance, either for the entire municipality or only for certain parts of it. If a municipality does not specify different coefficients for individual parts of the municipality by ordinance, then the statutory coefficient listed above is used in the calculation formula. The local coefficient may be set within the following range:
It should be noted that a change in the tax rate or the local coefficient does not create a new obligation for the owners of the affected properties to file a tax return. If the tax amount changes year-over-year as a result of these adjustments, there is no need to recalculate the tax amount. The tax administrator will automatically take these changes into account when calculating the tax for the current year.
Are you a new or long-time property owner? Review the most important facts about property tax —how much it is, when it’s due, and how and when to register to pay it.
The current real estate tax regulations are based on a law that has been in effect since 1993. Significant increases occurred in 2010, when many rates doubled, and in 2024, when rates rose by approximately 80%. However, the specific tax amount also depends on the type of property and the applicable coefficients. New rules for municipal coefficients have been in effect since 2025; in 2026, the inflation coefficient remains at 1.0. A change in the rate or coefficient alone generally does not require a new tax return, as the tax office will take it into account. On the other hand, a tax return is usually required upon the acquisition of real estate or another significant change. The tax revenue belongs to the municipality in whose territory the property is located.
Yes, the mere fact that an apartment is vacant is generally not grounds for an exemption. The tax is based primarily on ownership, not on whether someone is currently living in the apartment.
The status as of January 1 of the given year is what counts. If you were the owner on that date, you will generally have to pay tax for the entire year, even if you sell the property later.
Yes. After logging in to the Tax Information Box Plus, you can use the pre-filled data from the tax office and the land registry. Please review the information before submitting it and add any missing details as needed.
Taxes up to 5,000 CZK were due in a single payment by June 1, 2026, because the usual deadline of May 31 fell on a Sunday.
No. The Ministry of Finance has announced that the inflation coefficient will remain at 1.0 for 2027 as well. However, the resulting tax amount may change for other reasons, such as the local coefficient.
Not sure how to do your taxes correctly so you don’t get it wrong? We can help you navigate the law, whether it’s dealing with a specific tax situation, preparing for an audit by the tax authority or defending yourself in court.
Ondřej is the attorney who came up with the idea of providing legal services online. He's been earning his living through legal services for more than 15 years. He especially likes to help clients who may have given up hope in solving their legal issues at work, for example with real estate transfers or copyright licenses.
Ondřej is the attorney who came up with the idea of providing legal services online. He's been earning his living through legal services for more than 15 years. He especially likes to help clients who may have given up hope in solving their legal issues at work, for example with real estate transfers or copyright licenses.
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