What can be waived?

The tax authority may waive three common types of sanctions:

• penalties on additional tax assessed (typically 20% or 1% p.a.),

• late payment interest (currently 8% above the CNB repo rate),

• administrative fines (e.g. for late filing of returns).

How to apply?

The request must be in writing, well reasoned, and supported by:

• exceptional circumstances (e.g. serious illness, natural disaster, financial hardship),

• an effort to resolve the issue and pay the debt,

• the specific amount and type of sanction to be waived.

Timing matters – generally, the tax debt must already be fully paid, or your request may not even be reviewed.

What if your request is denied?

There’s no legal entitlement to waiver. Even well-argued requests may be refused. The refusal is not a typical administrative decision, meaning no appeal is possible. Still, you may:

• submit a new request with updated information,

• request review under the Administrative Code,

• approach a higher tax authority.

Lawyer’s recommendation

Tax penalty waivers are tricky. A simple note saying “I was sick” usually isn’t enough. The tax office wants precise facts, correct paperwork, and good timing. I regularly help clients in difficult situations with these requests – and I know how crucial it is to prepare everything carefully. One wrong step and you could lose tens of thousands of crowns for no good reason.