Daně a legislativa ČR
The CZK 100,000 Value Test: When You Pay Nothing
Key takeaways
- Value test: total proceeds from selling securities up to CZK 100,000 per year — gain is exempt.
- Note: the limit is proceeds (total sale amount), not gain.
- The test can be met without a 3-year holding period — useful for small short-term sales.
- The time and value tests don't exclude each other — meeting both gives more certainty.
- Always track total annual sale proceeds, not just the result of each transaction.
The value test states that if total proceeds from selling securities in a year do not exceed CZK 100,000, the gain from those sales is exempt from income tax. The holding period is irrelevant.
What exactly counts toward the limit
The CZK 100,000 limit counts the full sale proceeds — the total amount of money you receive for the securities sold, not the gain itself. If you sell an ETF for CZK 95,000 (even if you paid CZK 80,000 for it), the proceeds are CZK 95,000 and the test is met. If you sell for CZK 105,000, the test is not met — the entire gain on that sale must be taxed.
When the test is advantageous
The value test is particularly useful for beginning investors or those selling small positions before the three-year period lapses. If you invest regularly and occasionally need to withdraw some funds, you can plan your sales so that total proceeds for the year stay below CZK 100,000.
- The test covers all securities combined (stocks + ETFs + others).
- If you sell for CZK 80,000 in February and CZK 30,000 in September, the total is CZK 110,000 — test not met.
- The test is evaluated over the full calendar year.
Combining with the time test
The two tests do not exclude each other. If a sale meets the time test (> 3 years), it is exempt regardless of the amount (subject to the CZK 40 million cap). The value test is a safety net for sales where the three-year period hasn't elapsed yet. More in the 3-year time test.
A full overview of taxation is in taxes on ETFs in the Czech Republic. This article does not constitute tax advice — verify current rules or consult a tax advisor.
FAQ
Is the CZK 100,000 limit proceeds or gain?
Proceeds — the total amount of money received for the securities sold, not the gain itself. If you sell an ETF for CZK 95,000 with a CZK 15,000 gain, the proceeds are CZK 95,000 and the test is met.
Does the value test apply to stocks as well?
Yes, the value test applies to all securities — stocks, ETFs, bonds and others. All sales in a given year are added together.
Do I need to track the value test myself, or will my broker do it?
Yourself. The broker records transactions, but you must track the tax obligation and test compliance. Keeping a record of sales and the annual total is up to you.