Who is a tax non-resident?

Question

What does that even mean?

Answer 1

Securing income tax in the Czech Republic comes into consideration only for taxpayers (ie income recipients) who are tax non-residents of the Czech Republic. Therefore, let us at least briefly recall how such a subject is known. The issue of determining tax residence is relatively extensive, but since it is not the core of our research, we will limit ourselves to the basic (general) rules. Some may be surprised that the taxpayers of Czech income taxes are all natural and legal persons, without exception, whether it is a neighbor next door or a "bushman" from the bush who does not even know Europe. Just look at § 2 paragraph 1 and § 17 paragraph 1 of the ITA. Being a taxpayer does not in itself mean having any obligations under the ITA. These can only arise when material conditions are established, especially with the existence of income from the Czech Republic. The taxpayer is therefore only a legal entity (any) that can potentially incur a tax liability in the Czech Republic. Definition of resident versus non-resident, resp. The criteria of the so-called tax domicile are generally set by the ITA (see below). In the case of residents from the so-called contracting states with which the Czech Republic has an agreement on the avoidance of double taxation (hereinafter also referred to as the “Agreement”), the definition of residency in the relevant Agreement is decisive within this national regulation. http://www.danarionline.cz/archiv/dokument/doc-d3715v5046-zajisteni-dane/