Czech Government Fast-track Visa Program "Digital Nomad"

The Republic of Korea is one of the eight countries/regions for which the Czech Republic has introduced a special fast-track visa procedure for long-term stay in the Czech Republic with effect from July 1, 2023. The program called "Digital Nomad" is focusing on highly qualified IT professionals. The program aims to facilitate their settlement in the Czech Republic.

The "Digital Nomad" program was approved by the Czech Republic Government Decree No. 475 of June 28, 2023.

The purpose of the program is to achieve an economic benefit for the Czech Republic according to Act No. 326/1999 Coll., on the residence of foreigners in the territory of the Czech Republic.

The goal of the program is to respond to changing trends in the field of international mobility of employees and so-called freelancers, especially in the IT sector. At the same time, other states both within the EU and outside the EU are coming up with their own approaches to enable so-called digital nomads to stay, as they are aware of their economic contribution to the national economy. A digital nomad is a person who can work remotely independently of the place of work using telecommunication means, either on the basis of employment with a foreign employer, in his/her own company with a legal seat outside the Czech Republic, or the Czech business license.

In the field of IT services, it is common that these are provided on a cross-border or a project basis (e.g. delivery of a certain piece of software code, temporary help on a certain project based on specific knowledge and experience). Furthermore, it is common that IT specialists work on multiple projects in different parts of the world at the same time.

Due to the nature of their work, nomads cannot be in a classic labour-law relationship, both due to the one-off exercise of the assigned tasks and owing to possible conflicts of multiple employment relationships and the resulting responsibilities.

The future of the IT field is, among other things, in hiring digital nomads who, after completing a task, move to other destinations or to other projects within the destination where they currently reside.

In the past 15-20 years, a strong base of multinational IT companies, technology start-ups and investors has been created in the Czech Republic, which would use the services of digital nomads due to the lack of qualified labour work in the Czech market. At the same time, Prague is an attractive place to live in and, according to the international comparison of the server  https://nomadlist.com, it is regularly placed in the top ranks among more than a thousand compared world destinations. 

By using the potential of digital nomads, the Czech Republic is gaining in particular:

• the inflow of foreign know-how,

• creating an interesting environment for foreign technology teams to develop their activities in the Czech Republic,

• assistance to companies established in the Czech Republic with the short-term coverage of fluctuations in the lack of capacity in the performance of orders and projects,

• promotion of the Czech Republic abroad, both generally and in the international IT community,

• support for tourism,

• support for flexible forms of employment,

• fiscal benefit for the Czech Republic in the form of indirect consumption taxes from purchases made by mostly above-standard income entities that are spent on goods demanded on our market,

• in the case of long-term residents of the Czech Republic or self-employed persons, the deduction of personal income tax and the deduction of insurance premiums for social and health insurance will also be a non-negligible benefit.

 

Conditions for inclusion in the "Digital Nomad" program

Only a citizen of Australia, Japan, Canada, the Republic of Korea, New Zealand, Taiwan, the USA or the United Kingdom can apply for inclusion in the "Digital Nomad" Program.

Only the following persons can be included in the "Digital Nomad" program:

a) an employee of a foreign company who has the intention of working for more than 3 months from the territory of the Czech Republic online using telecommunication means (the person remains in an employment relationship with his/her
foreign company and does not enter into an employment relationship in the Czech Republic),

b) a freelancer who is (or will become) a holder of a Czech business license and thus a self-employed person (OSVČ),

c) husband or wife of the person mentioned in point a) or b), 

d) a registered partner of the person referred to in point a) or b),

e) minor child (or a dependent student below 26 years) of a person mentioned in points a), b) or c).

The person referred to in point a) or b) must prove income of at least CZK 60,530 per month, which is 1.5 times the average gross annual salary announced by the Ministry of Labor and Social Affairs (for the period from May 1, 2023, to April 30, 2024, the average gross annual salary in the Czech Republic is CZK 484,236, i.e. CZK 40,353/month). The exchange rate of the Czech National Bank can be used: https://www.cnb.cz/en/financial-markets/foreign-exchange-market/central-bank-exchange-rate-fixing/central-bank-exchange-rate- fixing/

The person mentioned in points c) or d) can be a citizen of any country, but the application for inclusion in the "Digital Nomad" program can only be submitted simultaneously with the request of the person mentioned in points a) or b).

 

How to submit an application for inclusion in the "Digital Nomad" program

The application for inclusion in the "Digital Nomad" program shall be first submitted to the Ministry of Industry and Trade of the Czech Republic via e-mail sent to the address digitalnomad@mpo.cz. All information, including forms, is available on the website https://www.mpo.cz/en/foreign-trade/economic-migration/digital-nomad-program--275799 (in Czech: https://www.mpo.cz/cz/zahranicni-obchod/ekonomicka-migrace/program-digitalni-nomad--275277).

The foreign employee, i.e. the person mentioned above in point a), submits the documents listed here: https://www.mpo.cz/assets/cz/zahranicni-obchod/ekonomicka-migrace/2023/8/Postup-zamestnanec-_1__1.docx.

Freelancer, i.e. the person mentioned above in point b), submits the documents listed here: https://www.mpo.cz/assets/cz/zahranicni-obchod/ekonomicka-migrace/2023/8/Postup-freelancer-_002__1.docx .

 

How to apply for a long-term visa under the "Digital Nomad" program

If the Ministry of Industry and Trade of the Czech Republic decides to include the applicant in the program (usually within a week of submitting the application), the Embassy (or Consulate General) of the Czech Republic is informed, with which the applicant can then apply for a visa. The Embassy will then contact the person mentioned in point a) or b) and provide a possible date for submitting an application for a long-term visa (usually within the next 10 days or as agreed). This person will then contact all his/her family members who are to go with them to the Czech Republic. All these people will prepare a set of documents for applying for a long-term visa under the government's "Digital Nomad" program. On the specified day and time, all persons applying for a long-term visa shall appear at the Czech Embassy in person and submit a duly completed and signed application form for a long-term visa (see https://www.mvcr.cz/soubor/zadost-o- granting-long-term-visa-cze-eng.aspx) for the purpose of:

1) "business" - the person mentioned in point b) - see https://www.mvcr.cz/mvcren/article/a-visa-for-a-stay-of-over-90-days-long-term.aspx?q=Y2hudW09NA%3d%3d (as evidence of the purpose of the stay, a Czech trade license or an invitation from the relevant trade department proving entry in the relevant register or list is submitted),

2) "other" - the person mentioned in point a) - see https://www.mvcr.cz/mvcren/article/a-visa-for-a-stay-of-over-90-days-long-term.aspx?q=Y2hudW09NA%3d%3d - as proof of the purpose of stay, a foreign an employment contract in English and its certified translation into Czech proving that the employee will be employed by this company during his stay in the Czech Republic and will have the opportunity to work remotely using telecommunications means)

3) "family member" - the person mentioned in point c) - see https://www.mvcr.cz/mvcren/article/a-visa-for-a-stay-of-over-90-days-long-term.aspx?q=Y2hudW09NQ%3d%3d - as proof of the purpose of stay, a marriage certificate or a document of registered partnership with an apostille (or higher verification, so-called super legalization) and a certified translation into Czech is submitted,

4) "family member" - the person mentioned in point d) or e) - see https://www.mvcr.cz/mvcren/article/a-visa-for-a-stay-of-over-90-days-long-term.aspx?q=Y2hudW09NQ%3d%3d - as proof of the purpose of the stay, a birth certificate with an apostille (or higher verification, so-called super legalization) and a certified translation into Czech, evidencing family ties, is submitted.

In the case of justified impossibility to appear at the Embassy of the Czech Republic on the regular date, only one alternative date will be set for applicants. An unused term is forfeited without compensation. The regular appointment will be forfeited without compensation if the applicant is unable to sufficiently justify the impossibility of appearing at the embassy of the Czech Republic, and in the same way, without the possibility of further compensation.

The persons listed in point b) are required to undergo an interview when applying for a long-term visa, other persons are required to undergo an interview only if the relevant employee of the Embassy invites them to do so.

The relevant Embassy where the visa application was submitted will forward it for processing to the Ministry of the Interior of the Czech Republic, which will process the application within the framework of an accelerated procedure no later than 45 days after its receipt.

 

How to extend the validity of inclusion in the "Digital Nomad" program during your stay in the Czech Republic

The decision to include an employee of a foreign company in the "Digital Nomad" program is valid for a maximum of 1 year. If the digital nomad wants to continue the activity related to the original purpose of stay and at the same time stay in the Czech Republic, he/she must apply to the Ministry of Industry and Trade of the Czech Republic for its extension before the expiry of his/her long-term visa. If the Ministry of Industry and Trade decides on an extension, the digital nomad and his/her family member can apply for a long-term residence permit at the relevant office of the Ministry of the Interior in the Czech Republic.

In case of an extension of stay, there is an obligation to complete an adaptation-integration course.

More information is available on the website: https://www.mpo.cz/en/foreign-trade/economic-migration/digital-nomad-program--275799.