Electronic Records of Sales


At present, entrepreneurs in the Czech Republic are attentively monitoring the situation around the draft of the act introducing the system of electronic records of sales; the draft is currently being discussed in the Parliament and its ratification process continues.

The aim of the legislator is to launch a system of electronic evidence of cash payments for goods and services gradually, beginning as of 2016. Every cash inflow will be recorded at the moment of payment via the Internet in the central data repository. A unique code will be sent back to the entrepreneur; this code is then to be stated on the payment receipt.

For the above purposes, the entrepreneurs can choose appropriate equipment with regards to the type of business conducted (e.g. cash register, tablet or mobile phone connected to a printer). Based on the receipt code, the purchaser will be able to verify whether the transaction was correctly declared in the system.

All cash payments, payments via means de facto representing money (e.g. tokens, vouchers), payments by cards or by any other electronic means and payments by meal vouchers and cheques will have to be recorded as described above. However, wire transfers or debiting will not be subject to reporting in electronic records of sales.

The current plan for the electronic records of sales is that it will be launched gradually in three phases (presumably with three-month intervals). In the first phase, it will apply to providers of accommodation and catering services. Then it will be extended to retail and wholesale businesses in the second phase and to other businesses accepting payments in cash in the third phase. As a compensation for this measure, a reduction of the VAT rate from 21% to 15% is proposed in case of restaurant and catering services.