Czech Republic to Impose Lodging Tax Aimed at Sharing Economy

The Czech Republic will impose a uniform local accommodation tax from 2020 to improve taxation of the sharing economy.

The levy will amount to a maximum of 21 Czech koruna (91 cents) per person per night, as of Jan. 1, 2020, and 50 koruna as of 2021, under a bill signed into law Oct. 23 by Czech President Milos Zeman. The tax will apply to all accommodation providers—including those offering short-term rentals on digital platforms like Airbnb Inc.

The measure will replace a two-tier system where a maximum of 6 koruna per occupied bed per night is only paid by ...