• Alexandra Kurbanova, real estate agent

4% property acquisition tax: to pay or not to pay?

Updated: Jun 25


Many have heard that a 4% tax on the acquisition of a real estate should not be paid, for example, when buying an apartment in a new building. And they are very surprised when they still have to pay the tax.

Let's figure it out.


The basic rule is that you ALWAYS have to pay 4% acquisition tax when acquiring plots of land, as well as second-hand real estate.


When will you NOT pay this tax?

- if you buy a real estate in cooperative ownership (družstevní byt), because you are not buying a real estate, but the right to be a member of a cooperative;

- if you transfer an apartment from the cooperative ownership to the private one;

- if you inherit a real estate;

- if you receive real estate as a gift;

- if you buy a real estate in a new project built no more than 5 years ago, and you buy it directly from the builder.


But there are cases when you WILL have to pay the tax even when buying a new project:

- the developer built a new building using the external walls of an existed building. This will include all the revitalization projects of the old residential buildings;

- you buy an apartment in a new project built from scratch from a person or a company that bought the flat from the developer earlier. Even though it’s a completely new apartment in which no one has lived because the title transfer has been made, it’s considered as a second-hand real estate and the tax should be paid;

- you buy a new family house with a land plot directly from the developer. And in this case, you will have to pay tax on the acquisition of а real estate, but not from the house value – instead from the plot around it.


Do you want to get the latest articles and videos right to your email? Subscribe here.


Would you like to contact me? Press here.

My contacts

+420 606 171 876

alexandra.kurbanova@re-max.cz

  • Facebook
  • Instagram
  • LinkedIn
  • YouTube