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How to Do Business in the Czech Republic

FORMS OF BUSINESS ACTIVITIES

Czech or foreign natural persons or legal entities can perform the business activity in the Czech Republic if
they comply with the Czech law. The condition is generally the issuance of a Czech trade license regulated by
the Trade Licensing Act or another specifi c permit regulated by a number of specifi c acts, depending on the
type of business activity. The exception from this condition applies to entrepreneurs from another EU member
state in case of temporary provision of services based on the trade licenses issued in such member state

STEPS FOR ACQUIRING A CZECH TRADE LICENCE

Trades are divided under the Czech Trades Licensing Act (Act No. 455/1991 Coll.) into notifiable trades,
which can be obtained based on notification, and concession trades, which can only be pursued on the
basis of a special business licence – a concession. Notifiable trades are categorised into three further
groups: vocational, professional, and unqualified.

https://issuu.com/ppagency/docs/db_aj_2015_web/42

TIME FOR NEW INVESTMENT INCENTIVES

 As of 1 May 2015, an amendment to the Czech Investment Incentive Act (the “Act”) came into force. Its aim
is to make investment incentives more attractive for investors even despite reduced maximum level of state
aid (25% from the previous up to 40%), which in July 2014 was introduced by the European Commission‘s
General Block Exemption Regulation (the “Regulation”) regulating the conditions and rules for state aid.

https://issuu.com/ppagency/docs/db_aj_2015_web/47