The payments of dividends, interest, royalties and certain other payments are subject to withholding tax when made by Czech payers.
The tax rate of 15-35% may be reduced by a double-taxation treaty or subject to exemption by EU Directives.
Social security contributions provide funding for three separate funds: pensions, unemployment benefits, and sickness, together with other benefits. Entrepreneurs can choose whether or not to contribute to the sickness fund. There is a cap on social security for both employees/employers and entrepreneurs.