Business License Suspension in the Czech Republic: Pay Attention to the Dates

Have you suspended your business license? Ensure that it has not been automatically renewed.

When conducting business in the Czech Republic, situations may arise that interfere with your operations. In such cases, you can suspend your business license. However, keep in mind that this can only be done for a specific period.

It is possible for an entrepreneur to forget when they suspended their business and remain unaware that the license has been automatically renewed. This situation can lead to obligations to the authorities that are not being fulfilled at the moment.

Suspension of Activities

The health insurance company, the district social security department, and the tax office must be informed of the intention to suspend activities. This can be done in person by contacting the relevant municipal office, where it is sufficient to submit a notice of changes in the license data. Officials will then forward the information to the tax office, the district social security department, and the health insurance company.

If you have an electronic data box or a qualified electronic signature, you can fill out and submit the form via an application on the website of the business register.

The entrepreneur will receive a notification of the suspension of business activities in the trade register. This document contains:

• The main identification data of the entrepreneur
• The type of license (or business) whose activities are suspended
• The start date of the interruption in activities
• The end date of the suspension of activities

Pay Attention to the Dates

The notice of suspension of activity must specify the date until which the activity is suspended. A business cannot be suspended for an indefinite period. After this period, the license is automatically renewed, and it becomes necessary to start paying advances for social and health insurance, as well as fulfilling other obligations related to the business. Therefore, it is recommended to keep a record of the date of suspension of the license.

Conversely, if the entrepreneur wishes to continue business operations until the end of the period for which the business was interrupted, they must notify the trade office in advance. After that, they can resume business activities no earlier than the day of delivery of the notice of continuation or on a later date specified in the notice.

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