Redaction Czech loan | 20.10.2019

Abolition of real estate tax on housing units

Housing units in family houses will be exempt from real estate transfer tax. On 8 October 2019, the President of the Republic signed an amendment to the Act regulating the acquisition of flats in family houses. Newly, the buyer saves 4% on the purchase of an apartment in a family house.

Currently, the tax is not paid for the first acquisition of a new family house or apartment in an apartment building. Nor is it paid for the free transfer of real estate in the form of a donation or inheritance.

Due to the “discrimination” of housing units in family houses, the legislation was unified. This will now also apply to the first acquisition of housing units in family houses. The family house can then have a maximum of three housing units in order to benefit from the exemption.

The amendment will come into effect after its publication in the Collection of Laws. Unfortunately, for other types of real estate, the tax liability remains unchanged despite the efforts of some politicians.


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