How will consolidation of companies and businessmen in 2026 affect?

Čo v článku nájdete:

• More tax bands for personal income tax
• Increase in health contributions for all groups of insured persons
• Higher basis for calculating self-employed personsO social security contributions
• Amendment of compulsory social security contributions for self-employed persons
• Changes in VAT deduction for company vehicles
• Income contributions during sick leave, maternity leave or nursing care leave
• Changes in the payout PN by employer
• Higher minimum tax for large firms
• Less Days of Peace
• Higher VAT on certain foodstuffs
• Conclusion: Prepare for change with a reliable partner

What exactly does consolidation mean? Why did the government approach it? And what is its real impact on business, whether legal or natural? Let’s take a closer look.

Following the consolidation packages of 2024 and 2025 aimed at reducing the general government deficit, a third wave of measures is coming. The government approved the third consolidation package brings several interventions into the tax and tax system, employment relations and the functioning of the retail trade. Changes will mainly affect taxes, levies, VAT, sickness benefits and working time. In addition, the third package also brought with it the cancellation of some days of quiet. Although the package still aims to stabilise public finances, these changes put further pressure on costs, wages and competitiveness for the business sector. Let us look together at the most important changes that will affect companies and businessmen.

More tax bands for personal income tax

Since 2026 the personal income tax system has changed. Both 19% and 25% have added two additional rates: 30% and 35%. A preferential 15% rate is maintained for businessmen, but only if their taxable income does not exceed the limit of EUR 100 000. If their revenue exceeds this threshold, two new rates will be used for the increasing tax base.

The following income tax rates shall apply from 1 January 2026:

• 19% if the tax base is up to 154,8 times the applicable minimum life (including);
• 25% if taxes are between 154.8 and 212.4 times the minimum life (including);
• 30%;
• 35% if the tax base exceeds 264 times the life minimum.

The new rates will cover not only business income but also wages, rental income, copyright income and other types of taxable income.

Increase in health contributions for all groups of insured persons

Since the new year, health levies have increased by one percentage point. Change will affect employees, self-employed persons and self-payers, with people with disabilities having half the increase. The result will also be an increase in minimum health contributions for businessmen. Since 2026 they will pay at least EUR 121.92 per month, which is EUR 7.62 more than without consolidation measures. This is an annual increase of over €170 compared to 2025.

Higher basis for calculating self-employed personsO social security contributions

An important change is the increase in the basis of assessment for the minimum social contributions of businessmen. Instead of 50% of the average wage to date, 60% will be based on this. In practice, this means that the minimum contributions to the Social Insurance Office will increase from January 2026 to EUR 303.11 per month. Compared to a situation without consolidation, this is an increase of more than 50 euros per month, even more than 66 euros per year.

Amendment of compulsory social security contributions for self-employed persons

Until now, the new businessman only started to pay social security contributions after the first tax return had been made. Since 2026 this advantage has been significantly reduced. New entrepreneurs will be required to pay social insurance from the sixth month of their business, at least EUR 131,34 per month. This obligation will also apply to already existing traders who have not yet paid contributions for low incomes. The change will particularly affect those who take part in work, study or parental leave. In some cases, levies can make up the majority of their income.

Changes in VAT deduction for company vehicles

For vehicles procured after 1 January 2026 which are also used for private purposes, only 50% of the VAT deduction can be applied. The full deduction will only remain for cars used exclusively for business purposes, which will need to be demonstrated by an electronic driving book. The restriction also affects VAT on operating costs such as vehicle service or fuel.

If the vehicle is used exclusively for business purposes and the businessman demonstrates this by means of an electronically led driving book, the deduction will be maintained at 100%; Source: Canva

Income contributions during sick leave, maternity leave or nursing care leave

Consolidation also brings changes to social contributions on income received by an employee during sick leave, maternity leave or nursing care leave. Under the new rules, social contributions will also apply to income settled for a previous period if it is paid during sick leave, maternity leave or nursing care leave. If, for example, an employee obtains annual or Christmas remuneration during a TN, the levies will be paid in full, i.e. 9,4% of the employee and 25,2% of the employer. Until now, only the employer’s accident insurance has been paid.

Changes in the payout PN by employer

As of this year, the period during which the employer pays compensation in respect of the TN is also extended. The number of days varies from 10 to 14. Until 15th day, the pension will be paid by the Social Insurance Institution. This means higher wage costs for companies.

Higher minimum tax for large firms

The minimum income tax for individuals is also increased. This concerns companies whose turnover exceeds EUR 5 million. They will pay 11 550 euros from this year, instead of 3840 euros, which is almost three times the amount so far. The tax will be liable regardless of the amount of profit or even in the event of a tax loss.

Less Days of Peace

It also shortens the list of days of business peace. The leave of 1 September and 17 November, temporarily, for 2026, was suspended on 8 May and 15 September. At the same time, the ban on retail sales during holidays is released. Businesses will only remain closed for six specified days:

• 1 January
• Good Friday
• Easter Sunday
• Christmas Eve after 12:00.
• Christmas Day
• Second Christmas Festival

This may mean higher revenues for traders, but less leave for employees.

In 2026 we will also cross out 8 May and 15 September as days of rest from the calendar; Source: Canva

Higher VAT on certain foodstuffs

Foods with high sugar and salt content such as sweets, savoury snacks, cakes or selected bakery products will be transferred to a higher, 23 percent VAT rate. At the same time, a group of goods with 19% VAT will be extended to include some beverages without added sugar. The measure may lead to an increase in the price of selected products and pressure to change recipes by manufacturers.

Conclusion: Prepare for change with a reliable partner

Consolidation measures significantly change the rules of play for both companies and businessmen. Higher taxes and levies, new obligations, changes in VAT and labour relations mean not only higher costs, but also greater emphasis on well-established processes and consistent planning. In such an environment, it is increasingly important to have an overview of legislative changes and to know how to translate them into the daily functioning of business. It is here that quality plays a key role. Tax advicewhich can help businesses not only to meet legal obligations but also to optimise the tax and levy burden under the current legislation. Properly processed Tax return, early impact assessment of changes and a strategic approach to taxes can significantly affect the financial health of the firm. With us, in the BPS Group, we have long been helping companies and businessmen to navigate in a complex tax and accounting environment. If you need advice, we’re here for you.