Sleva na pojistném pro zaměstnavatele od 1. 2. 2023

Employer premium discount from 1 February 2023

In October 2022, we reported in a post HERE on the approved amendment to Act No. 589/1992 Coll., on social security contributions and contributions to state employment policy. The amendment was published in the Collection of Laws under the number 216/2022 and, among other things, it newly introduces a discount on insurance premiums for employers for selected groups of employees in the amount of 5% of the aggregate assessment bases for insurance premiums.

The amendment takes effect from 1 February 2023. From this date, employers will for the first time be able to send electronically to the Czech Social Security Administration ("CSSA") a notification that they will apply this discount. The CSSA will then inform the employer whether it has registered its intention and the discount can be applied, subject to other conditions, or whether another employer of the relevant employee has already done so.

During January, ČSSZ published on its website a summary of the conditions and procedure for claiming the discount - available HERE. In the past few days, a form for notifying the intention to claim the discount on behalf of an employee (available HERE) and a revised monthly premium statement form (including instructions for completing it) have also been published. In the monthly premium statement, employers will now fill in specific details of the employees for whom they are claiming the discount in the relevant month (available HERE).

Employers who plan to claim the discount for selected employees from 1 February 2023 should therefore notify the relevant CSSA of their intention in good time (i.e. by 20 March at the latest, when the deadline for filing the premium statement for February expires) and at the same time have their payroll systems adjusted so that the discount is calculated correctly.

If you have any questions, please contact the EY team you are working with.

Author:

Radka Růžičková