Heritage, donations, sales of shares in a company or securities. Transactions exempt from income tax have been reported by almost 2000 Czechs. PRAGUE Czechs told the tax authorities that they had earned almost 91 billion Czech crowns that are not taxable in 2017. That is an average of 48 million crowns per millionaire.
The largest transactions were in Prague and South Bohemia. The obligation to declare exempt income over 5 million crowns was introduced in 2015 and since then the sum has grown every year. This year’s figures may not be final – there may be more to add to the 1894 declarations by the deadline, at the beginning of July.
“The intergenerational exchange and sales of companies from 1990s business people who are now going into retirement have been the main cause for this growth.” Thanks to economic growth, the value of companies sold has also increased,” says Jiří Žežulka, tax manager at APOGEO, the consulting firm.