Is a virtual office legal? What does Czech law say about it?

Are you planning to start a company or a sole proprietorship and don’t want to list your home address as your registered office? A virtual registered office is a popular choice and a suitable solution, but many entrepreneurs are unsure whether it’s fully legal. We took a look at what Czech law says about virtual registered offices and what requirements you must meet to operate your business in full compliance with the law.

What is a virtual office and how does it work in practice?

A virtual office provides you with an official business address registered in the Commercial Register or Trade License Register without having to pay for an expensive physical office. It helps you separate your personal life from your business so that your home address isn’t publicly searchable online. It also resolves situations where a property owner refuses to grant the necessary consent for your registered office to be located on their premises.

As a business owner, all official and business correspondence will be sent to this address; you can list it on business cards, websites, and invoices, even though you’re actually working from a different location. The registered office serves solely as a virtual office.

TIP: You can also read about the main benefits of a virtual registered office for self-employed individuals and companies in the article “Privacy Protection and 4 Other Reasons to Have a Virtual Registered Office.”

What the Law Says About Virtual Registered Offices: A Look at the Civil Code

The main legal framework for virtual registered offices is set forth in the Civil Code (Act No. 89/2012 Coll.), specifically Section 429, which states that every entrepreneur must have a designated registered office. This is either the address they register in the public registry or their place of residence. Therefore, if you list a virtual registered office in the registry, it becomes the official and authoritative address for government agencies.

Although the Civil Code assumes that you conduct business at the address listed in the registry, the law does not require you to physically be present at that location or work there on a daily basis.

Nevertheless , for companies, authorities, business partners, and others may, pursuant to Section 137 of the Civil Code, also request the legal entity’s actual registered office—that is, the location from which the company is managed and where its primary economic activity takes place.

Three conditions you must meet for a virtual registered office under the law

To ensure your virtual registered office is 100% legal, make sure you comply with all legal obligations. Authorities focus primarily on these three things:

  • 1

    Written consent from the property owner: By law, you must submit the property owner’s officially certified consent to the location of the registered office when filing for registration.

  • 2

    Designation of the registered office: The building must be visibly marked with your company’s name or your name and identification number (IČO).

  • 3

    Ensuring Contact with the Public and Government Agencies: It is essential to have a system in place for receiving mail and the ability to accommodate visits from government agencies.

Processing incoming mail at a virtual registered office is truly crucial. If an agency sends a letter and it is returned as undeliverable, you have a problem you aren’t even aware of. A quality registered office provider will handle received letters in at least one of the following ways:

  • Email notification: The business owner immediately receives a message that new mail has arrived at the address. Regular letters can be processed further, while registered mail requiring personal delivery must be picked up in person at the post office or forwarded.
  • Scanning of contents: If the client requests it, the service provider will open the letter, scan it, and send it electronically directly to the client’s email or client portal.
  • Physical forwarding: Mail is forwarded seamlessly at regular intervals to the address you specify.
  • In-Person Pickup: Some providers also offer the option to pick up mail in person at their branch. However, this does not apply to registered letters, for which only a notice of storage is sent to a Czech Post branch.

The importance of proper management of incoming mail was also confirmed by a ruling of the Supreme Administrative Court. The court ruled that a virtual address is a legal means of establishing a registered office, which is common in business practice; however, it must be possible to contact the company at that address without any issues.

Why Do Authorities Inspect Virtual Addresses, and How Can You Avoid Problems?

Tax and trade licensing authorities occasionally investigate so-called “uncontactable companies”—that is, those that do not meet the legal requirements mentioned above or simply fail to respond to official notices.

Although most communication with institutions now takes place via data boxes, we are still a long way from the full and functional digitization of all processes and information transfer, as demonstrated by the problematic JMHZ project in 2026. If your registered office provider immediately notifies you of received mail and scans or forwards letters, you can easily prove that your business is operational and communicating.

The tax authorities may also focus on the company’s actual place of business—that is, the location where most of its economic activity and management takes place—and, in justified cases, apply the so-called “delegation of local jurisdiction” principle: transferring the administration of your taxes to a branch in the location where you actually operate.

A ruling by the Supreme Administrative Court also provided a practical perspective on the matter. It reviewed the case of a company that had an official address in Prague but concentrated its management and all operations in another region. The court confirmed that such a situation is not illegal and does not carry any penalties; nevertheless, the tax administration has the option, under the Tax Code (Section 18 of Act No. 280/2009 Coll.), to review your local jurisdiction or change it to a location where it can more effectively conduct any audits.

Do business with confidence and in compliance with regulations

A virtual registered office is a fully legal and common tool for modern business, not only in the Czech Republic but also, for example, in the United Kingdom or the United States.

Are you looking for a secure and legal virtual office in Prague or Brno? Choose from our addresses, and we’ll take care of immediate approval of your registered office location, building signage, and flawless mail handling via the client portal. Contact us using the form below and get a virtual registered office for your business within 24 hours.

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