International: Taxi News from the Czech Republic

The proverbial view beyond the horizon can lead to interesting discoveries, whether it's trends, innovations, solutions to problems, or current developments that can also provide impulses here at home, or simply to peer over the shoulders of foreign colleagues: a snapshot or press review of the Czech taxi industry.

Stock image: A Czech taxi in front of the Prague skyline with landmarks and waving Czech flags. Image: AI-generated
Stock image: A Czech taxi in front of the Prague skyline with landmarks and waving Czech flags. Image: AI-generated

Czech authorities uncover massive tax fraud via ride-hailing services

The Czech Tax Administration and Customs has uncovered a far-reaching network of tax fraud in the field of alternative taxi services such as Uber and Bolt. According to a report by the TV magazine Reportéři ČT, so-called fleet companies that own hundreds of vehicles and rent them to drivers are said to have systematically evaded taxes in the millions. Through constant re-foundings and company changes they evade the authorities' control.

According to estimates by the tax office, in 2024 around 6.5 billion korunas (257 million EUR) in fare revenues were earned – only about one-fifth of it was taxed. The fleet companies usually pay drivers in cash; many of them are under enforcement or officially only marginally employed, which deprives the state of revenue from income tax, social security, and health insurance contributions.

The fraud system works through the platforms' payment structures: customers pay rides by card to Uber or Bolt, which forward the money abroad after deducting their commission. The remaining revenues go to Czech fleet companies, which report the revenues only partially or dissolve themselves before the tax audit. Drivers receive their money subsequently in cash and outside of official bookkeeping.

The largest known case, code-named Flotila, concerns a group around entrepreneurs Tomáš Munzar and Zdeněk Touš. They allegedly operated with eight companies and more than 1,000 vehicles and evaded taxes of at least 121 million Czech crowns [4.8 million euros]. Police and customs conducted raids, seized assets in the millions, and filed hundreds of criminal charges. The authorities are now negotiating with Uber and Bolt about monthly data transfers to uncover future tax fraud more quickly. (September 2025, source: ct24.ceskatelevize.cz/clanek/domaci/pres-flotily-taxiku-utikaji-statu-na-danich-stamiliony-popsali-reporteri-ct-365578)

Foreign drivers and ride-hailing services are changing the taxi landscape in the Czech Republic

The number of taxi drivers in the Czech Republic rose sharply in recent years, especially in Prague. The main drivers of this development are app-based services like Uber and Bolt. In the Czech capital, the number of licensed drivers grew from about 1,000 in 2014 to more than 5,400 in 2024. Currently, between 15,000 and 16,000 drivers are active in Prague; similar trends are seen in cities such as Brno, Ostrava and Pilsen.

A large part of the new drivers come from abroad; many of them lack sufficient language skills as well as precise local knowledge. According to authorities this repeatedly leads to problems in road traffic. City administrations and the police warn against inadequately qualified drivers who sometimes drive recklessly and do not know the traffic rules. The police report daily violations and describe some maneuvers as dangerous. Another problem are language barriers: Many drivers from abroad do not understand Czech or English. This makes communication with the police and passengers more difficult and often leads to misunderstandings on the road.

In response, the city of Prague has tightened the road traffic act: From July 2025 all drivers must possess a valid EU driver's license, and the license is valid only for the duration of lawful residence. This is intended to raise safety and quality standards. Nevertheless, industry representatives fear that the new regulations will not be enough to fully solve the problems. The classic taxi driver with local knowledge and many years of experience is increasingly being displaced by platform-based services. (July 2025, source: expats.cz/czech-news/article/foreign-taxi-drivers-multiply-in-czechia-s-cities-raising-alarms)

Prague Airport plans return of classic taxis after criticism of Uber system

Prague Airport is currently negotiating with the ride-service provider Uber about the reintroduction of classic taxi services. Since 2023 Uber has been the official provider at the airport, but many passengers criticize the exclusively app-based booking system as too complicated. Passengers must either install the Uber app or register at a kiosk to book a ride. The airport management acknowledges that a portion of travelers prefers a conventional taxi option without using an app or providing data.

Originally Uber was contracted from 2023 to counter opaque and as overpriced price practices of traditional taxi providers, since Uber guarantees fixed fares in advance. Nevertheless, the capital's airport is now considering re-allowing classic taxis due to the complaints, to meet the diverse needs of passengers. Uber opposes these changes. If no agreement with Uber is reached, a public tender for additional providers could be possible. (February 2025, source: expats.cz/czech-news/article/classic-taxi-services-to-return-to-prague-airport-after-uber-backlash)

Prague plans to allow only electric and hydrogen taxis from 2029

The city of Prague intends to shift taxi traffic completely to environmentally friendly vehicles from 2029. According to a proposal by the city administration, in the future only electric and hydrogen taxis will be licensed. In addition, vehicles from this date must not be older than six years. The background of the measure is the sharp increase in taxi registrations in the Czech capital. In 2024 there were more than eight times as many taxis on the streets as in 2010.

The city also justifies the planned switch with increasing environmental burdens caused by older vehicles. According to authorities, in 2017 the average age of Prague taxis was five years, in 2023 already over 10 years. Taxis travel considerably more kilometers per day than private cars and therefore contribute disproportionately to emissions. Although Prague currently complies with the EU air-quality limit values, these are to be significantly tightened by 2030. The proposal is before the City Council's Transport Committee and still needs to be finally approved. (February 2025, Source: praguemorning.cz/prague-taxis-face-new-rules-only-electric-cars-allowed-from-2029/)

Content automatically translated.
Logobanner Liste (Views)