Changes in the law that affect every one of us

Increase in the tax bonus for a dependent child

From 1 January 2023, the amount of the tax bonus changed:

• for a dependent child up to the age of 18 – €140
• for a dependent child over 18 – €50

Introduction of a minimum employee health insurance contribution

From 1 January 2023, a minimum employee health insurance contribution was introduced. In practice, this means that every employed person who is not insured by the state (a student, a pensioner, a person on maternity/parental leave) must pay at least €32.81 a month to their health insurance company. This amount is tied to the level of the subsistence minimum and will therefore gradually increase over the years.

Abolition of broadcasting licence fees

Every employer will surely appreciate the abolition of broadcasting licence fees and the move to subsidising the running of RTVS. From 1 July 2023, these fees paid for employees are abolished. RTVS will obtain the income for its activities from the state budget; it will be financed through a state contribution. In 2023, this contribution will amount to €42 million.

A new type of employment relationship – the agreement on work activity for seasonal work

An employer may conclude this new type of employment relationship with an employee for a maximum of 8 months in a calendar year. The limit on hours worked is set at 520 hours a year. The work to which this agreement on work activity (dohoda o pracovnej činnosti) for seasonal work will apply is clearly defined in the law:

• in agriculture, in growing and harvesting
• in tourism

Determining the amount of VAT when goods are stolen

This applies to the correction of deducted VAT on stolen goods that were not depreciable assets, were acquired for a purpose other than resale and have a useful life of 1 year. Such goods will be treated as if they were depreciated over 4 years, so the VAT will be repaid in proportion to the years of use. If the goods are more than 4 years old, the VAT payer will not be obliged to correct the deducted VAT when such goods are stolen.

Extension of the exemption from illegal employment

From 1 January 2023, the exemption from illegal work is also extended to a limited liability company (s.r.o.) that has 2 shareholders who are family members. From 1 January 2023, it will not be illegal work if the employer uses the work of:

• family members
• the entrepreneur’s relatives in the direct line, siblings or spouses
• a family member who is covered by pension insurance, receives a pension or is a student under 26

Obligation to repay VAT on payables 100 days past their due date

A business that is a VAT payer is obliged to repay the deducted VAT on purchased goods and services if it has not paid the supplier for them, in whole or in part, within 100 days after the payable’s due date. This obligation already applies to the VAT return for January 2023.