The 40 Million Limit: Shares Uncapped from 2026, Crypto Not

Investors and business owners have been on a legislative rollercoaster over the past two years. First, from 2025, a cap of 40,000,000 Kč was added to exempt income from the sale of securities and ownership interests; in February 2025 crypto-assets were added to the same limit; and from 1 January 2026 the limit for securities and interests is abolished again. For crypto-assets, however, it remains. The result is that different rules apply for 2025 and for 2026, and it's easy to get them wrong. Let's compare them.

How the 40 Million Kč Limit Came About and What It Meant in 2025

You know the holding period test: income from the sale of securities is exempt from income tax after 3 years of holding (for interests in an s.r.o. after 5 years). From 1 January 2025, however, a value cap was added to the holding period test in § 4(3) of the Income Tax Act: such income could be exempt only up to an aggregate of 40,000,000 Kč per tax period. Anything above the limit was taxed proportionally as other income under § 10, with related expenses reduced in the same proportion.

From 15 February 2025, an amendment introduced by Act No. 32/2025 Coll. also took effect, introducing an exemption for crypto-assets as well: a 3-year holding period test and an exemption for small sales up to an aggregate of 100,000 Kč of income per year. Exempt income from crypto-assets counts towards the same 40 million Kč limit. The Financial Administration's press release on the 2025 tax return expressly reminds taxpayers that from 14 February 2025, income from the sale of crypto-assets counts towards the limit for securities and interests.

What Changes from 1 January 2026

The amendment introduced by Act No. 360/2025 Coll. abolishes the 40 million Kč limit for securities and interests in business corporations. Sales made from 1 January 2026 are therefore exempt, provided the holding period test is met, regardless of the amount of income, just as was the case until the end of 2024. The reason for the abolition was practical problems applying the limit, described for example by Portál POHODA.

For crypto-assets, though, the 40 million Kč limit remains. From 2026 it therefore applies only to the aggregate of income from the transfer of crypto-assets for consideration. Anyone holding a larger crypto portfolio must continue to factor the limit in.

What Happens If You Exceed the Limit

Exceeding the limit doesn't mean everything is taxed. The exemption applies to the portion of income up to 40 million Kč, and only the proportional part above the limit is taxed. You can claim expenses (the acquisition cost) in the same proportion.

Watch Out for the Notification of Exempt Income Above 5 Million Kč

Exempt income is not stated in the tax return. However, if an individual item of exempt income exceeds 5,000,000 Kč, you have an obligation under § 38v of the Income Tax Act to file a notification of exempt income with the tax administrator, within the deadline for filing the tax return. Failure to comply carries a fine of up to 15 % of the unreported income. This obligation also applies to the sale of shares, a company interest, or crypto-assets for which you met the holding period test.

When Trading Is a Business, Not Asset Management

Everything described above applies to managing your own assets, i.e. income under § 8 and § 10. If, however, you trade systematically, in large volume, and for profit (day trading, automated strategies, services for third parties), the tax office may assess the activity as self-employment under § 7. In that case, the holding period exemption does not apply at all, and social and health insurance is payable on the income too. We covered the topic in more detail in our articles on taxing cryptocurrencies and on self-employed investments in ETFs and shares.

Conclusion

From the perspective of exempting investment income, 2025 is exceptional: the only tax period in which securities, interests, and crypto-assets all count towards a shared limit of 40 million Kč. From 2026 the situation splits in two: shares and interests are exempt with no cap once the holding period test is met, while crypto-assets have their own 40 million Kč limit. Anyone selling larger assets should think through the timing of the transaction and not forget the notification obligation for income above 5 million Kč.

In the meantime, DokladBot will help you keep an overview of your business documents and income: photograph a document, it extracts it, files it, and prepares the paperwork for your accountant. Investment records can then be the only thing you handle manually.