Short-term rentals in Prague in 2026: rules, taxes and returns

The EU regulation on short-term rentals now applies, but eTurista does not yet. This guide covers the obligations of flat owners in Prague, how owners' associations and taxes affect short-term letting, and how it compares with a long-term let.

Short-term letting of a flat in Prague is still legal in 2026, and an owners' association (společenství vlastníků jednotek, SVJ) cannot prohibit it in its articles. However, the host must register foreign guests with the police and collect and pay a tourist tax (poplatek z pobytu) of CZK 50 per person per night. The income is usually taxed as business income, not as rental income. The national eTurista register is not yet in operation. The government has resubmitted the bill, with the new rules planned to take effect from 2028.

What changed in 2026: eTurista and the EU rules

Since 20 May 2026, Regulation (EU) 2024/1028 on data collection and sharing relating to short-term accommodation rental services has applied across the European Union. Under the regulation, every rental unit is to receive a registration number. Hosts must show this number in their listings. Platforms such as Airbnb or Booking are required to verify it, send the authorities regular data on the number of nights and guests, and remove listings without a valid registration. The regulation itself does not introduce a licence or a cap on the number of nights. It simply creates a common framework for collecting data, and each member state must put it into practice through its own registration procedure.

In the Czech Republic, this procedure was to be provided by eTurista, a central electronic register of accommodation establishments and guests run by the Ministry of Regional Development. The previous amendment to the Tourism Act did not pass through the Chamber of Deputies before the end of the parliamentary term. The new government therefore resubmitted the bill in September 2026. Under the proposal, all accommodation providers would have to register and keep an electronic guest register, including private individuals letting a single flat. If the law is passed, it is expected to take effect on 1 January 2028. Be wary of websites claiming that registration has been mandatory since May this year. The existing rules continue to apply until the law is published in the Collection of Laws (Sbírka zákonů).

Registration, fees and reporting guests

Even without eTurista, a host in Prague has a number of obligations that are easy to overlook:

Registering foreign nationals: under Section 102 of the Act on the Residence of Foreign Nationals (Act No. 326/1999 Coll.), you must report a foreign guest's stay to the police within 3 working days. Providers that run accommodation as a business and have a business ID number (IČO) report electronically through the Ubyport system.
Guest register: the provider keeps a register of guests (evidenční kniha) and must retain it for 6 years.
Tourist tax: throughout Prague, the tax is CZK 50 per person for each day of stay or part of a day, excluding the day of arrival. It applies to stays of up to 60 consecutive days, and many people are exempt, for example children and young people under 18.
Registering for the tax and reporting: you must notify the relevant city district (městská část) within 30 days of starting the activity. You then usually report the number of nights and pay the tax collected monthly, by the 15th day of the following month. Check the exact procedure with your city district.

Since 2023, platforms have also reported hosts' income to the tax authorities under the EU DAC7 directive. This gives the authorities data that they can compare against tax returns.

Owners' associations and their articles: when a building can restrict short-term letting

In its decision Ref. No. 26 Cdo 854/2022 of March 2023, the Supreme Court confirmed that an owners' association cannot use its articles to prohibit short-term rentals or make them subject to the other owners' consent. Under the Civil Code, the association's remit is limited to managing the building and its common parts. It therefore cannot interfere with how you use a unit you own, and any such resolution has no legal effect. At present, the law gives owners' associations no such power.

However, the building is not defenceless. The association can adopt rules for the use of the common parts, known as house rules, and the owner is responsible for making sure their guests follow them too. If an owner repeatedly and persistently disturbs the peace and order of the building, Section 1184 of the Civil Code allows the association to apply to the court for a forced sale of the unit. It must first give a written warning, and the deadline for putting things right must have passed with no improvement. In practice, then, relations with the neighbours are what really count. That means handing over keys without sharing the entrance code, having clear house rules in several languages and responding quickly to complaints.

Taxes and trade licences for short-term rentals

The Czech tax authorities usually treat short-term accommodation that includes cleaning, a change of linen and guest services as an accommodation service. The income is therefore taxed as business income under Section 7 of the Income Tax Act, not as rental income under Section 9. This leads to significant differences:

You need a trade licence (živnostenské oprávnění) for accommodation services.
Social security and health insurance contributions are payable on income under Section 7, but not on rental income under Section 9.
Instead of the 30% flat-rate expense allowance for rental income, a trade licence lets you claim a different flat-rate allowance or your actual expenses, including depreciation.
Unlike the rental of a flat, accommodation is not exempt from VAT, and VAT payers apply the reduced rate of 12%. If your turnover exceeds CZK 2,000,000 in a calendar year, you usually become a VAT payer from 1 January of the following year. If it exceeds CZK 2,536,500, you become a VAT payer from the following day.
Because a foreign platform charges you commission, you may become an identified person for VAT even if you are not a VAT payer, and have to pay VAT on that commission.

Foreign owners should expect income from property in the Czech Republic to be taxed in the Czech Republic. They also need to consider the double taxation treaty with the country where they are tax resident. Always check how your income should be classified with a tax adviser.

Short-term or long-term letting: which pays off better?

In an attractive location, gross income from short-term letting tends to be higher than from a standard tenancy. What matters, though, is the net result. From your takings you need to deduct the platform's commission, cleaning and linen, utilities and internet, wear and tear on furnishings, the tourist tax, any VAT, insurance contributions and either your own time or a property manager's fee. Occupancy also varies with the season and the level of tourism.

A long-term let offers predictable monthly income, minimal day-to-day work, more favourable taxation under Section 9 with no insurance contributions, and lower regulatory risk. Short-term letting makes more sense for flats in central districts with tourist demand and in buildings without tension between owners. It also suits owners who are prepared for more work and for the possibility that the rules may become stricter from 2028. Before you decide, have a realistic model drawn up that assumes cautious occupancy and includes all costs, not just the average nightly rate.

Medium-term lets to foreign tenants as an alternative

Between the two lies letting for a few months at a time. Typical tenants are foreign professionals, managers on projects or families who are still looking for a long-term home. The tourist tax does not apply to stays longer than 60 days, and a fully furnished, move-in-ready flat usually commands a higher rent than a standard tenancy. If it is genuinely a tenancy without hotel-type services, taxation under Section 9 may be possible. However, the line between a tenancy and an accommodation service depends on what the contract says and on the services provided, so set it up carefully. With tenants from abroad, it pays to have a contract in English, a reasonable deposit and a clearly documented handover of the flat.

Professional management: what it costs and what it covers

Management of a short-term rental is usually charged as a percentage of takings. For a long-term let, it is either a percentage of the rent or a fixed monthly fee. The exact amount depends on the services included, so compare what is actually covered. For short-term rentals, good management should cover:

communication with guests, key handover and checking the flat after departure,
cleaning, linen and minor repairs,
reporting via Ubyport, the guest register and records for the tourist tax,
making sure guests follow the house rules, and communication with the owners' association,
ongoing records for accounting and the tax return,
monitoring legislation so that the flat is ready for registration in eTurista.

For foreign owners who do not live in Prague, using a manager is often the only realistic way to meet these obligations on time. Responsibility towards the authorities remains with the owner, however, so make clear in the management agreement who is liable for what.

Frequently asked questions

Do I have to register with eTurista in 2026? No. As of October 2026, eTurista is not in force. The government bill would have it take effect from 1 January 2028. Registering foreign guests, keeping a guest register and paying the tourist tax are already required.

Can the owners' association ban me from letting through Airbnb? According to the Supreme Court, no. The articles cannot restrict how an owner uses their own unit. However, the association can enforce the house rules and, as a last resort, apply for a forced sale of the unit if the peace is repeatedly and seriously disturbed.

How is short-term rental income taxed for a foreign owner? In the same way as for Czech residents. It is usually treated as business income in the Czech Republic, which requires a trade licence and may bring VAT obligations. Whether and how the income is also taxed in your country of residence depends on the double taxation treaty. We therefore recommend discussing your situation with a lawyer and a tax adviser.

If you are deciding whether to let your flat short-term, for a few months or long-term, DALILE LIVING can help you estimate the rent, find a tenant and manage the property. We will also be happy to recommend trusted legal and tax advisers.