Short answer: anyone can get a Czech trade licence (živnostenské oprávnění), but the route depends on your passport. EU, EEA and Swiss citizens register on the same terms as Czechs. Non-EU citizens need permanent residence, or a long-term visa or residence permit, before the licence can work. Once registered, you pay social insurance and, if you are in the public system, health insurance, you choose how to calculate tax, and you file one tax return a year. The traps in year one are health insurance for non-EU freelancers, VAT registration when you work for foreign clients, and minimum payments that start the moment you register.
Disclosure: I build MoneySky, a finance app for Czech freelancers, which comes up briefly at the end. This guide is general information as of November 2026, not legal or tax advice. Residence rules in particular depend on your exact permit, so check with an immigration adviser before you act.
Step 1: Know which group you are in
| You are | What it means for the trade licence |
|---|---|
| EU, EEA or Swiss citizen | Same conditions as a Czech citizen. No residence permit needed. |
| Non-EU citizen with permanent residence | Same conditions as a Czech citizen. |
| Non-EU citizen without permanent residence | You must show a visa for over 90 days or a long-term residence permit. If you are applying for a business residence permit, the trade office can issue a preliminary extract to attach to that application, and the full licence once the permit is granted. |
If you are already in Czechia on a permit for another purpose, such as an employee card or family reunification, a trade licence can be possible, but your permit's original purpose still has to be fulfilled. This is exactly the kind of question to take to an immigration adviser.
If you are applying from abroad, note that Czech embassies accept long-term business visa applications under yearly quotas set by government regulation, and some accept very few or none. Check your embassy's current quota before you plan a start date. A new Act on the Entry and Residence of Foreigners passed the Chamber of Deputies in September 2026 and is expected to take effect in 2029; until then, the rules described here apply.
Step 2: Register the trade licence
You file one form, the Jednotný registrační formulář (JRF), at any trade office (živnostenský úřad) or a CzechPOINT counter. For most freelance work, such as IT, design, translation or consulting, you register a "free trade" (živnost volná), which needs no proof of qualifications.
Fee: 1,000 Kč for your first trade (plus 50 Kč at CzechPOINT).
Criminal record extract from your home country, usually not older than three months and officially translated into Czech.
Proof of your business address (sídlo) if it is different from where you live, for example your landlord's consent.
Processing: the office enters you in the register within five working days of a complete filing.
The same JRF can also register you with the tax office, the social security administration (ČSSZ) and your health insurer. Use it, because it saves three separate visits.
Step 3: Health insurance
This is where nationality matters most.
EU, EEA and Swiss citizens self-employed in Czechia are in the public health insurance system. You pay monthly advances to your insurer: at least 3,306 Kč a month in 2026 and 3,488 Kč from January 2027.
Non-EU citizens with permanent residence are in the public system on the same terms.
Non-EU citizens without permanent residence who are only self-employed are generally not in the public system. You need comprehensive private health insurance that meets the requirements for your residence permit. If you also have a Czech employer, the job brings you into the public system.
The rules have exceptions, for example for family members of EU citizens, so confirm your status with VZP or your insurer.
Step 4: Social insurance
Social insurance (pension and, optionally, sickness insurance) applies to every self-employed person in Czechia, whatever the passport. If your freelancing is your main activity, the minimum advance is 5,005 Kč a month from July 2026 and 5,281 Kč from January 2027. You tell ČSSZ you have started by the 8th day of the month after you start.
Two reliefs help newcomers. If you have not been self-employed in Czechia in the previous five years, you do not have to pay social insurance advances in your first year and the year after (you still settle the insurance after your annual přehled, and this relief does not apply in the flat tax regime). And if you have not been self-employed in the previous 20 years, your minimum assessment base is lower for the first three years, so the minimum advance for 2027 is 3,772 Kč.
If you also work in another EU country, EU coordination rules decide which country's social insurance applies. The A1 certificate is how that is confirmed.
Step 5: Choose how you are taxed
Czech freelancers pick one of three ways to calculate income tax:
Flat-rate expenses (paušální výdaje): you deduct a fixed share of income instead of real costs. For most free trades it is 60%. No receipts needed for income tax.
Actual expenses: you deduct what you really spend and keep tax records. Worth it only if your costs are high.
Flat tax (paušální daň): one monthly payment covering income tax, social and health insurance. Band 1 costs 9,661 Kč a month in 2027, and you must apply by 11 January. It is only open to people in the Czech public health insurance system: the law requires a flat-tax payer to be self-employed under the public health insurance act. A non-EU freelancer outside the public system therefore cannot use it and stays with flat-rate or actual expenses.
The trade-offs are explained in flat-rate expenses vs actual expenses vs flat tax, and the freelancer tax calculator shows what you keep under each.
Step 6: Foreign clients and VAT
Many expats work for clients abroad. Two rules surprise people:
You can become an "identified person" for VAT without crossing the 2,000,000 Kč threshold. If you provide services to a business in another EU country, or buy services from one (advertising, software subscriptions from an Irish entity and so on), you have to register as an identified person (identifikovaná osoba) and file VAT paperwork for those months. Many newcomers miss this. The details are in how to invoice a client in another EU country.
Watch the VAT threshold. Above 2,000,000 Kč of turnover in a calendar year you become a full VAT payer. Track it with the VAT threshold calculator.
Step 7: Getting paid in other currencies
Invoicing in EUR, USD or GBP is fine. For tax you convert to koruna, either at the Czech National Bank rate for the day or at the single annual rate (jednotný kurz) the Financial Administration publishes after the year ends. Pick one method and use it consistently. Many expats keep multi-currency accounts at Wise, Revolut or N26, which works as long as you can export statements for the year.
Your first-year calendar
| When | What |
|---|---|
| Before you start | Residence sorted (non-EU), trade licence via JRF, health insurance arranged |
| Within 8 days of starting | Notify your health insurer (public system) |
| By the 8th of the following month | Notify ČSSZ that you started |
| Every month | Health advance by the 8th of the following month, social advance by the 20th of the following month (unless you use the newcomer relief) |
| Before the first EU B2B invoice | Register as an identified person for VAT if it applies |
| By 11 January | Apply for the flat tax if you want it and qualify |
| Spring of the next year | Tax return, then the ČSSZ and health insurer přehledy |
Self-employed people also get a data box (datová schránka) set up automatically. Official letters go there, and anyone with a data box has to file tax returns electronically. Check it regularly, even if you never asked for it.
FAQ
Can a non-EU citizen get a trade licence in the Czech Republic?
Yes. With permanent residence the conditions are the same as for Czechs. Without it you need a visa for over 90 days or a long-term residence permit, and the trade office can issue a preliminary extract for a business residence permit application.
Do self-employed foreigners pay Czech health insurance?
EU, EEA and Swiss citizens and non-EU citizens with permanent residence pay public health insurance. Non-EU freelancers without permanent residence and without a Czech employer are generally outside the public system and need comprehensive private insurance.
Can a foreigner use the Czech flat tax (paušální daň)?
Yes, if they are in the Czech public health insurance system, which covers EU, EEA and Swiss citizens and non-EU citizens with permanent residence. A non-EU freelancer who relies on private health insurance does not meet the conditions.
How much does a trade licence cost?
The administrative fee is 1,000 Kč for your first trade, plus 50 Kč if you file at CzechPOINT. Add the cost of a translated criminal record extract from your home country.
Do I need to speak Czech?
Not legally, but forms, the tax portal and official letters are in Czech. Most expats use an accountant or adviser for the first tax return.
Keeping it manageable
MoneySky was built for this kind of setup: connect Czech and foreign accounts, including Revolut, Wise and N26, issue invoices in any currency with reverse charge and VIES checks, and see your income tax and insurance position as you go. The Freelance plan costs €49.90 a year and you can try it free for 14 days.