Act No. 110 / 2006 Coll.
Law on Life and Existing Minority
Valid
Effective from 01.01.2007
110
THE LAW
of 14 March 2006
on life and existence minima
Parliament has decided on this law of the Czech Republic:
Subject matter
(1) That law sets a minimum of living as a minimum threshold for monetary income (hereinafter referred to as income) of natural persons (hereinafter referred to as "persons') to ensure nutrition and other essential personal needs and an existential minimum of income of persons which is considered necessary to ensure nutrition and other essential personal needs at a level which allows survival.
(2) This law also provides for a way of assessing whether the income of persons amounts to a minimum of life or an existing minimum.
(3) Neither the minimum of living nor the minimum of existence include the necessary housing costs; the provision of assistance to ensure the reimbursement of the necessary housing costs is provided for in specific legislation1).
Minimum life of the individual
The amount of the life minimum of the individual is CZK 3,126 per month. For the purposes of this Act, a person who is not jointly assessed with other persons referred to in § 4 shall be considered an individual.
Minimum of life of persons assessed together
(1) If, for the purposes of this Act, a person is assessed together with other persons (Section 4), the amounts of the minimum of life are graded according to the order of persons. The order of the persons to be assessed shall be determined by assessing first persons who are not dependent children and then persons who are undependent children. Within each of these groups of persons assessed, the order shall be determined by age from the oldest to the youngest. The age of the person responsible for determining the minimum life shall be the age for which the person reaches in the calendar month for which the minimum life is ascertained.
(2) The amount of the life minimum of the person who is considered first in order is CZK 2,880 per month.
(3) The amount of the minimum of life of the person considered second or second in order shall be:
(a) CZK 2,600 for a person from 15 years of age who is not a dependent child,
(b) CZK 2,250 for an uninsured child aged between 15 and 26,
(c) CZK 1,960 for an uninsured child from 6 to 15 years of age;
d) CZK 1,600 for an uninsured child up to 6 years of age.
(4) The minimum living costs of persons who are assessed jointly for the purposes of this Act are determined as the sum of the amounts of the minimum living costs of all those persons.
(5) The insecurity of the child is assessed for the purposes of this Act under the State Social Support Act (2).
(1) Together for the purposes of this Act, unless otherwise specified, the
(a) parents and minors of dependent children;
(b) spouses or partners in accordance with special legislation2a); for the purposes of this Act, a partner with whom a citizen of a Member State of the European Union has entered into a registered partnership under the legislation of another Member State of the European Union, provided that such legislation provides for mutual maintenance between partners;
(c) parents; and
1. minors who are not unprovided,
2. adult children,
where such children and their parents are using an apartment and are not jointly assessed with other persons referred to in (b) or (d);
(d) other persons who use the flat together, with the exception of persons who prove that they do not live together permanently and do not jointly pay the cost of their needs3).
(2) For the purposes of this Act, an apartment is defined as a suite of rooms or a separate living room which, by its technical design and equipment, meet the requirements for permanent housing and are intended for use in accordance with the building law or are collapsed as an apartment.
(3) Where a minor has been assigned to the care of one of the parents on the basis of a decision of the competent authority, he shall not be considered together with the other parent unless otherwise provided for in this law. In the case of a parent's custody, the child shall be assessed together with the parent to be assessed in accordance with the parent's consent. Parents may amend this declaration at the earliest after the end of the calendar month. For the purposes of this Act, a parent who declares, for the purposes of the Special Legislation (4), that they live and jointly pay the costs of their needs.
(4) For the purposes of this Act, the parent shall also be the person who has been assigned to care for the care of the parent by a decision of the competent authority of the minor who is not dependent; in this case, the child is not assessed together with his parent. For the purposes of this Act, the decision of the court on the
(a) entrustment of the child into the care of another person (5);
(b) adoption of a child (6);
(c) transfer of the child to the care of the future adoption7),
(d) the transfer of the child to care for the adopter before the adoption8),
(e) the appointment of a natural person as guardian of the child 9),
(f) entrustment of the child in foster care and in foster care for transitional period 10),
(g) entrustment of the child into foster care by foster care applicants 11),
(h) preliminary or interim adjustment of the ratios of the child (32).
(5) A dependent child shall not be assessed together with the parents if, by decision of the competent authority, he is in full direct custody of the institution (s) for the care of children or youth. Full direct arrangements shall be deemed to be provided in the institution (s) for childcare or youth care, provided that the institution (s) provides children with meals, accommodation and clothing.
(6) Where a person who can be assessed jointly within two or more headings of the persons jointly assessed is jointly used, joint assessment of parents and dependent children shall prevail; in other cases, the group of persons jointly assessed shall be determined in accordance with their agreement. However, a single parent co-occupying an apartment with his parents is also assessed with the child together with the parents.
(7) The persons assessed jointly in accordance with paragraph 1 shall also be those temporarily, for reasons of continuous preparation for future occupations, health or work, as well as for the long-term performance of the volunteer service, staying outside the apartment they use for housing.
(8) A person who is in custody, in the exercise of a security detention measure or in the execution of a custodial sentence shall not be regarded as being jointly assessed, starting on the first day of the calendar month following the calendar month in which that event occurred, provided that that fact continues to exist on that date; This does not apply if there is a joint assessment of mothers and children in their personal care at the time of the detention or imprisonment.
Existence minimum
(1) The amount of the person's existence minimum is CZK 2,020 per month.
(2) The existence minimum may not be used for a dependent child, an old-age pensioner, a third-degree disabled person and a person over 68 years of age.
Revenue assessment
(1) In order to assess whether a person's income reaches a minimum of life or an existing minimum, the sum of his or her deductible income shall be compared to that of a minimum of life or an existing minimum. However, where persons are assessed jointly under this law, the sum of the deductible income of all persons jointly assessed shall be compared with the sum of the amounts of the minimum life of the persons assessed.
(2) Save as otherwise provided in specific legislation, the income of the persons under consideration paid in the calendar month preceding the calendar month in which the income of the persons is assessed shall be determined whether the income of the persons amounts to a minimum of life or a minimum of existence.
(1) For the purposes of this Act, revenue attributable shall be considered to be:
(a) income from dependent activity referred to in the Income Tax Act (12), with the exception of income from dependent activity of a dependent child;
(b) income from a separate activity referred to in the Income Tax Act (14), with the exception of income from the self-employed activity of an uninsured child, which, pursuant to Article 8, would be attributable to July and August,
(c) income from capital assets referred to in the Income Tax Act (15), in so far as the performance of statutory insurance is not concerned;
(d) income from rent under the Income Tax Act (16),
(e) other income referred to in the Income Tax Act, where the property increases (17);
After deduction of expenditure incurred in achieving, securing and maintaining them, after deduction of income and social security contributions and of the contribution to national employment policy and public health insurance premiums, where the premiums and contributions have not been included in those expenditure.
(2) For the purposes of this Act, the following shall be regarded as deductible revenue:
(a) sickness insurance (care) and pension insurance and accident insurance benefits, except in the case of pain, social benefit allowance, reimbursement of medical costs and reimbursement of funeral expenses;
(b) unemployment and retraining support (19);
(c) benefits from insurance in the event of a certain age;
(d) the maintenance and subsistence allowance of the divorced spouse and not married to the mother, with the exception of those income which have been paid from the income of the person who, for the purposes of determining the deductible income, is considered to be the person jointly assessed with the person who received such income;
(e) State social assistance and foster care benefits (31), with the exception of housing allowance and one-off benefits, and replacement maintenance for an uninsured child under the Law on Replacement Maintenance;
(f) allowance for probation1),
(g) the wage entitlements paid by the Office of Labour of the Czech Republic - the Regional Branch or, as the case may be, the branch of the City of Prague under the Act on the Protection of Employees in the Insolvency of Employees and on the Amendment of Certain Laws 20),
(h) income which is subject to and exempt from the income tax on natural persons (21), except for the income referred to in points (a) to (g) or (5), except:
1. income from dependent activities exempt from personal income tax (22), except those referred to in (i), (j) and (k);
2. compensation received, compensation for non-property damage, payment of property insurance, death and funeral allowance under special legislation, payment of compensation for damage insurance, funds for the removal of the consequences of a natural disaster, one-off compensation paid by the State to a person in connection with an exceptional event in the premises of the Vladhovice- Výbětice munitions warehouses, one-off sums of money paid by the State to a person who has been sterilised against the law, one-off compensation paid by the State to a person obliged to evicate from the Czechoslovak Socialist Republic and one-off compensation paid by the State to a person who, for political reasons, has been subject to protective supervision under the law governing protection, which he has exercised in whole or in part;
3. financial assistance to victims of crime,
4. social assistance provided by the employer,
5. Support and contributions from Funding and Association,
6. income accruing from a housing supplement and emergency immediate assistance under the Act on aid in tangible needs22a),
7. the income generated by the care of a loved one or another who is entitled to a care allowance under the Social Services Act 22b), where such care is carried out by a natural person belonging to the group of persons jointly assessed pursuant to § 4;
8. scholarships,
9. revenue in the form of compensation in the efficient, economical and demonstrably incurred expenditure linked to the donation and collection of blood and its components, tissues, cells or organs, where such compensation is granted under other legislation;
10. Refunds (contributions) of accommodation expenses provided by the institutions of the European Union to staff (national experts) posted to the institutions of the European Union,
11. income in the form of a tax bonus,
This appropriation is intended to cover the following expenditure:
(i) a specific charge or charge for a service abroad provided under special legislation to soldiers and security corps (24) posted within a multinational force or international security corps outside the territory of the Czech Republic for a period of time outside the territory of the Czech Republic, at the rate of deduction of expenditure incurred to achieve, secure and maintain it, which is set for this purpose by analogy with such expenditure for determining the tax base under the Income Tax Act (23);
(j) income received in the form of compensation for salary, salary or reduced salary or reduced remuneration for the period of temporary incapacity for work or quarantine under special legislation24a), at the rate of deduction of expenditure incurred in attaining, securing and maintaining it, which shall be determined for this purpose by analogy with such expenditure for determining the taxable amount under the Income Tax Act 23);
(k) income from dependent activities carried out on the territory of the Czech Republic, resulting from income tax on individuals who are tax non-residents, from employers having their registered office or resident abroad, under the Income Tax Act;
(l) other recurring or regular incomes.
(3) Income from abroad similar to the income referred to in paragraphs 1 and 2 shall also be regarded as income in the amount in which it was paid, where appropriate after deduction of expenditure, taxes, premiums and contributions referred to in paragraphs 1 and 2.
(4) If the income referred to in paragraphs 1 and 2 is paid in a foreign currency, it shall be converted into the Czech currency according to the relevant rate declared by the Czech National Bank on the first day of the period for which the income is collected, unless otherwise specified. For the conversion of currencies where the Czech National Bank does not declare the relevant exchange rate, the exchange rate usually used by banks in the Czech Republic on the first day of the period for which income is collected shall be used. If income paid in foreign currency is subject to income tax under the Income Tax Act, the Czech currency shall be converted into the form applicable to income tax purposes in cases where the period for which income is collected is a calendar year.
(5) The income shall not be considered as a care allowance (25), part of the allowance to cover the needs of the child due to the dependency on the assistance of another natural person in stages I to IV26), the mobility allowance (27), the allowance for special aids (27), the income from the sale of immovable property and the severance payment for the release of an apartment used to cover the cost of satisfying the housing requirement and the special pension allowance under the special legislation28). In addition, income arising from the fair satisfaction granted by the European Court of Human Rights at the level which the Czech Republic is required to pay or from the settlement of a matter before the European Court of Human Rights on the basis of an amicable or unilateral declaration by the Government of the Czech Republic to pay 28a) shall not be regarded as income. In addition, income arising from compensation granted by an international criminal court, an international criminal tribunal or, where appropriate, a similar international judicial authority which fulfils at least one of the conditions set out in Section 145 (1) of the Act on International Judicial Cooperation in Criminal Matters shall not be regarded as income.
Method of calculating revenue from a separate activity
(1) A person who has or has had the income referred to in Article 7 (1) (b) shall be regarded as eligible income for a calendar month.
(a) the amount corresponding to the monthly average of such revenue for the period indicated in the tax return for the previous tax period covering the calendar months in which the activity from which the person had the income referred to in Article 7 (1) (b) was carried out for at least part of the month;
(b) the amount fixed in accordance with paragraph 2, if it is a flat-rate payer.
unless otherwise specified.
(2) However, an amount of at least 50% of the monthly average national economy wage shall be regarded as deductible from the person referred to in paragraph 1 for the preceding calendar year, with this amount being rounded down to 100% and declared by the Ministry of Labour and Social Affairs on the basis of data from the Czech Statistical Office by a communication published in the Collection of Laws and International Treaties. This amount shall be considered as the minimum income of the person referred to in paragraph 1 from the 1 July of each year in which the average wage on the national economy was declared for the preceding calendar year until 30 June of the following calendar year. The amount referred to in the first sentence shall not apply if it is a person engaged in a gainful activity which is considered to be a secondary self-employed activity under the Pension Insurance Act (29) or a person whose activity is not considered to be the activity of a self-employed person because he does not carry out that activity on a continuous basis. 30
(3) In the case of a self-employed person who has no self-employed income but has not interrupted or suspended the activity, the amount referred to in paragraph 2 shall be considered as income; this shall not apply if he is a self-employed person who is considered to be an ancillary self-employed person under the Pension Insurance Act (29), or if his activity is not considered to be an activity of a self-employed person because he is not continuously engaged in such activity (30).
(4) For a person who has, or has, the income referred to in Article 7 (1) (b) and has not submitted an income tax return during the previous tax period and who is not a taxpayer in a flat-rate scheme, such income is based on the income for the tax period preceding that period. Where that person or person who is a taxpayer in a flat-rate scheme has not yet engaged in business or other self-employment during the preceding tax period, he shall be based on at least half of the amount referred to in paragraph 2. For a person not covered by the lowest deductible income referred to in paragraph 2, half of the amount referred to in paragraph 2 shall be based on the amount referred to in paragraph 2 until the end of the calendar month in which the return is made, or shall determine the amount of income itself, unless it is required to submit the return.
Increase in the amounts of life and existence minima
(1) The amounts of the minimum of life set out in Articles 2 and 3 (2) and (3) and the amount of the minimum of life set out in Article 5 (1) may be increased by the government by the regulation on a regular basis as from 1 January, depending on the actual increase in the cost of nutrition and other basic personal needs expressed by the rise in the relevant household consumer price index (hereinafter referred to as the "relevant consumer price index") over a specified period, provided that the relevant consumer price index has increased by at least 5% since the beginning of the relevant period.
(2) The Government may, by regulation, increase the amounts of the minimum of life set out in Sections 2 and 3 and the amount of the minimum of life set out in Section 5 (1) also in an exceptional period.
(3) The period referred to in paragraph 1 shall be determined as follows: The first month of that period shall be the calendar month following the last month of the previous period of the period of the last increase in the life minima and the existence minima and the last month of the relevant period for the increase in the life minima and the existence minima within the regular period shall be September of the calendar year preceding the calendar year in which the life minima and the existence minima are increased; where there has been an increase in the minimum of life and existence within an exceptional period, the first month of that period shall be the calendar month following the last month taken into account by the exceptional increase.
(4) The growth of the relevant consumer price index is collected from data from the Czech Statistical Office.
Transitional provision
For the purposes of the first increase of the life minima and existence minima under this Act, the first month of the relevant period is October 2006.
Repeal
The following shall be deleted:
1. Act No. 463 / 1991 Coll., on Life Minimum.
2. Government Decree No. 245 / 1994 Coll., which increases the amount of living minimum and foster care benefits.
3. Decree of the Government No. 281 / 1995 Coll., which increases the amount of the life minimum.
4. Decree of the Government No. 219 / 1996 Coll., which increases the amount of the life minimum.
5. Government Decree No. 123 / 1997 Coll., which increases the amount of life minima.
6. Government Decree No. 42 / 1998 Coll., which increases the amount of the life minimum.
7. Decree of the Government No. 56 / 2000 Coll., which increases the amount of living minimum.
8. Decree of the Government No. 333 / 2001 Coll., which increases the amount of life minima.
9. Government Decree No. 664 / 2004 Coll., which increases the amount of the life minimum.
10. Government Decree No. 505 / 2005 Coll., on Increasing Life Minimal Amounts.
Efficacy
This Act shall take effect on 1 January 2007.
Zaoralek v. r.
Klaus v. r.
Paroubek v. r.
1) Act No. 111 / 2006 Coll., on assistance in material distress. Act No. 117 / 1995 Coll., on State Social Support, as amended.
2) Sections 11 to 16 of Act No. 117 / 1995 Coll., as amended.
2a) Act No. 115 / 2006 Coll., on Registered Partnership and amending certain related laws, as amended.
3) Article 115 of the Civil Code.
4) For example § 35c of Act No. 586 / 1992 Coll., on Income Tax, as amended by Act No. 669 / 2004 Coll.
5) Article 953 of the Civil Code.
6) Article 796 of the Civil Code.
7) Article 824 of the Civil Code.
8) § 826 of the Civil Code.
9) Article 928 of the Civil Code.
10) Article 958 of the Civil Code.
11) Article 963 of the Civil Code.
12) Article 6 (1) of Act No. 586 / 1992 Coll., as amended.
14) § 7 paragraphs 1 and 2 of Act No. 586 / 1992 Coll., as amended.
15) Paragraph 8 (1) (a) to (e) and points (g) and (h) of Act No. 586 / 1992 Coll., as amended.
16) § 9 paragraphs 1 and 7 of Act No. 586 / 1992 Coll., as amended.
17) Articles 10 (1) and 10 (9) (a) of Act No. 586 / 1992 Coll., as amended.
19) Act No. 435 / 2004 Coll., on Employment, as amended.
20) Act No. 118 / 2000 Coll., on the Protection of Employees in Insolvency of Employers and on the amendment of certain laws, as amended.
21) Sections 4 (1) and 6 (9) of Act No. 586 / 1992 Coll., as amended.
22) Paragraph 6 (9) of Act No. 586 / 1992 Coll., as amended.
22a) § 33 et seq. and § 36 et seq.
22b) § 7 of Act No. 108 / 2006 Coll., on Social Services.
23) Article 5 of Act No. 586 / 1992 Coll., as amended.
24) For example, Article 11 (3) of Act No. 143 / 1992 Coll., on the salary and remuneration for on-call time in budgetary and certain other organisations and bodies, as amended, § 119 of Act No. 361 / 2003 Coll., on the service ratio of members of the Security Corps, as amended.
24a) For example, § 192 to 194 of the Labour Code, § 34 (4) of Act No. 236 / 1995 Coll., on the salary and other formalities associated with the performance of the duties of representatives of State power and of certain state bodies and judges and Members of the European Parliament, as amended, § 73 (4) of Act No. 128 / 2000 Coll., on municipalities (municipal establishment), as amended, § 48 (3) of Act No. 129 / 2000 Coll., on regions (regional establishment), as amended, § 53 (4) of Act No. 131 / 2000 Coll., as amended.
25) § 11 of Act No. 108 / 2006 Coll., on Social Services.
26) § 47f paragraphs 3 and 4 of Act No 359 / 1999 Coll.
27) Act No. 329 / 2011 Coll., on the provision of benefits to disabled persons and on the amendment of related laws.
28) Part One, Title Two, Act No. 357 / 2005 Coll., on the award of participants in the national struggle for the creation and liberation of Czechoslovakia and certain survivors, on the special contribution to the pension of certain persons, on the lump sum of certain participants in the national struggle for liberation between 1939 and 1945 and on the amendment of certain laws.
28a) Articles 37 (1) and 39 and 41 of the Convention on the Protection of Human Rights and Fundamental Freedoms, published under No 209 / 1992 Coll., as amended by Protocol No 11 to the Convention on the Protection of Human Rights and Fundamental Freedoms amending the control mechanism established therein, published under No 243 / 1998 Coll.
29) Paragraph 9 (6) of Act No. 155 / 1995 Coll., on Pension Insurance, as amended.
30) Paragraph 9 (3) (d) and (f) of Act No. 155 / 1995 Coll., as amended.
31) § 47e et seq. of Act No. 359 / 1999 Coll.
32) § 452 et seq. of Act No. 292 / 2013 Coll., on Special Judicial Procedures, as amended.
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Regulation Information
| Citation | Act No. 110 / 2006 Coll., on Life and Existence Minimum |
|---|---|
| Regulation Type | - |
| Author | - |
| Collection | Code of Laws |
| Date of Promulgation | 31.03.2006 |
|---|---|
| Effective from | 01.01.2007 |
| Effective until | - |
| Status | Valid |
The regulation text is for informational purposes only.
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