According to Act No. 155/1995 Coll., on Pension Insurance, as amended, the following are considered self-employed:
- they carry out an independent gainful activity, or
- they co-operate in carrying out an independent gainful activity, if the income from this activity and the expenses incurred by it can be divided to this person pursuant to Act No. 586/1992 Coll., on the Income Taxes, as amended,
- they have completed the mandatory school attendance and have reached at least the age of 15.
An independent gainful activity is understood as:
- the business of farming, if the natural person carrying out the farming is registered pursuant to special legislation
- carrying out a craft on the basis of an authorization to carry out a craft pursuant to special legislation
- the activity of a partner in a partnership or general partner in a limited partnership carried out on behalf of this company
- carrying out an artistic or other creative activity on the basis of copyright relations
Carrying out an independent gainful activity in the Czech Republic is understood both as carrying out an independent gainful activity in the Czech Republic and outside the Czech Republic, if it is carried out on the basis of an authorization for carrying out this activity under Czech legislation. This will apply unless the applicable legislation is governed by a relevant international agreement on social security or by Regulation (EEC) No. 883/04 and Regulation (EEC) No. 987/09.
Types of independent gainful activity
From 1 January 2004 the difference between a major and subsidiary independent gainful activity has been distinguished.
An independent gainful activity is always considered major unless the conditions for a subsidiary independent gainful activity are fulfilled.
An independent gainful activity is considered subsidiary if the self-employed person in the calendar year:
- was employed
- was entitled to the payment of a invalidity pension or an old-age pension has been awarded to him/her
- was entitled to a parental allowance or maternity cash benefit or sickness benefit due to pregnancy and delivery if there is an entitlement to these benefits on the basis of sickness insurance of employed persons or cared personally for a person under 10 years who is dependent on the care of another person in degree I (light dependency) or for a person who is dependent on the care of another person in degree II (medium dependency) or degree III (heavy dependency) or degree IV (full dependency), if the person who is dependent on the care of another person is a close relative or lives with the self-employed person in a common household
- served in the Czech military, unless they are professional soldiers, or community service
- was a dependent child within the meaning of § 20 (3) (a) of Act No. 155/1995 Coll., on Pension Insurance, as amended (study)
Latest modifications 26. 1. 2012