Czechia has lowest standard VAT rate in Visegrad Group

Czechia has the lowest standard value-added tax (VAT) rate among the four Visegrad countries, according to an analysis by consultancy Forvis Mazars. The country's standard VAT rate is 21%, compared with 23% in Poland and Slovakia and 27% in Hungary. However, Czechia's reduced VAT rate of 12% is among the highest in the region. The analysis says neighbouring countries apply several lower reduced rates to a broader range of essential goods and services. VAT is the Czech state's largest source of tax revenue, generating CZK 623.1 billion last year.