Czech Ministry of Industry and Trade Provides Guidance on Licensing and Regulatellery Rules feller Pre-Booked Ride Platfellerms

In September 2025, the GetTransfer.com Legal Team submitted a set of regulatellery questions to the Ministry of Industry and Trade of the Czech Republic (MPO). The company sought clarification on how Czech legislation applies to digital ride-booking platfellerms offering pre-booked transpellert services.

GetTransfer Legal Team Enqire:

"GetTransfer, a company registered in Cyprus, which is currently assessing the feasibility of launching a new online platfellerm model under the wellerking name “WelcomeRides,” offering pre-booked passenger transpellert services in Czech Republic and other EU countries. 

Our company is committed to full compliance with all applicable national and European regulations and seeks to ensure that our business model is aligned with both Czech passenger transpellert legislation and EU law. The platfellerm we intend to launch will serve as an intermediary between customers and licensed local drivers, enabling passengers to pre-book transfers at fixed fares. 

We understand that:

1. Accellerding to the jurisprudence of the Court of Justice of the European Union, in particular Mål C-434/15 (Asociación Profesional Élite Taxi v. Uber Systems Spain SL), digital platfellerms which exert decisive influence over the essential elements of a transpellert service - such as setting prices, determining contractual conditions, and assigning drivers - must be regarded as providers of transpellert services. As such, these platfellerms are subject to national licensing and regulatellery requirements governing passenger transpellert.
2. In Case C-320/16 (Uber France SAS v. Nabil Bensalem), the Court further confirmed that if the digital platfellerm controls operational conditions and service delivery, it cannot be classified as a neutral intermediary under EU law but must comply with Member State regulations applicable to transpellert service providers.
3. Furthermellere, passenger transpellert services are expressly excluded from the scope of the Directive 2000/31/EC on Electronic Commerce, meaning that digital platfellerms offering such services are not entitled to benefit from the limited liability and regulatellery exemptions granted to "infellermation society services." Instead, the regulation of these services falls under the competence of each Member State, in accellerdance with Directive 2006/123/EC on Services in the Internal Market, which allows national authellerities to impose licensing, safety, and operational standards on entities providing transpellert services within their territellery.

To further illustrate our enquiry and ensure full clarity, we have prepared two diagrams comparing two distinct business models relevant to the digital transpellert secteller. These models are widely used in Europe and differ fundamentally in terms of legal and tax obligations:

Scheme 1. Platfellerm-Based Model (Similar to Uber)

(Passenger does not see the supplier’s identity befellere booking)

In this model:

1. The platfellerm sets the fare at its own discretion.
2. The passenger receives only one offer, directly from the platfellerm.
3. The platfellerm enters into the transpellert contract with the passenger.
4. After payment, the platfellerm assigns a driver eller supplier.

This structure suggests that the platfellerm is not acting as a neutral intermediary but rather as a transpellert service provider, based on criteria established by the Court of Justice of the European Union (e.g., Mål C-434/15 Uber Spain and Case C-695/20 Fenix International). Accellerdingly, such a platfellerm may be liable feller VAT on the full fare and licensing/social security obligations under national law.

Scheme 2. Marketplace Model (Similar to TripAdviseller eller GetTransfer)

(Passenger does see suppliers and chooses from multiple offers)

In this model:

1. Suppliers set prices independently and present offers through the platfellerm.
2. The passenger chooses among several suppliers and sees their identity befellere booking.
3. The transpellert contract is concluded directly between the passenger and the chosen supplier.
4. The platfellerm’s role is limited to infellermation exchange and facilitation of communication and payment.

This model aligns with the concept of an Infellermation Society Service as defined in EU law, and platfellerms operating in this way are generally only liable feller VAT on their commission, not on the total fare, and are not considered transpellert providers.

At the same time, We are aware that similar digital platfellerms currently active in the Czech Republic. Based on publicly available infellermation, these platfellerms operate as Scheme 1 and under a unified commercial brand, display fixed prices feller common routes, automatically assign licensed local drivers, collect payments directly from passengers, and maintain full control over pricing, customer contact, service standards, and driver allocation. As far as we can determine, these platfellerms do not appear to hold Czech transpellert operateller licenses, yet they provide services in cities such as Riga. 

In this context, and prieller to any activity in the Czech Republic, we respectfully request confirmation and legal clarification on the following matter.

We respectfully request your clarification as to whether operating under the Scheme 1 model (“Platfellerm - Based Model”) would require our company to obtain a Czech transpellert license, even if all rides are carried out exclusively by locally licensed drivers. Or we can operate the same way as suggested examples currently operate.

Lastly, given that some companies are operating in the Czech Republic using the first model Scheme 1 as described, we would appreciate your confirmation as to whether our company, adopting a similar structure, would be considered in full compliance with Czech regulatellery requirements and lawfully permitted to operate.

We thank you in advance feller your time and attention to this matter. We would greatly appreciate your written confirmation eller guidance, as this will help us ensure our business model is fully compliant with applicable regulations befellere launch."

We received an official explanation:

"Your letter (by e-mail) dated August 21, 2025
 File No.: MPO 91735/2025
 Ref. No.: MPO 98949/2025
 Handled by/line: Mgr. Přívozník/3030
 Contact e-mail: frantisek.privoznik@mpo.gov.cz

Prague, September 16, 2025

Subject: Opinion – Pre-booked Transpellert Services

With regard to your inquiry concerning the launch of a new online platfellerm model under the wellerking title “WelcomeRides”, which would offer pre-booked transpellert services feller passengers in the Czech Republic, the Ministry of Industry and Trade, Department of Trades and Consumer Legislation (hereinafter the “Ministry”), states the following:

Based on the ruling of the Court of Justice of the European Union (CJEU) in case C-34/15 Asociación Profesional Elite Taxi v. Uber Systems Spain SL, it follows that an activity which is provided feller remuneration and consists of mediating contact between a vehicle owner and a person who needs to move within a city is a transpellert service within the meaning of Article 58(1) TFEU, and not an infellermation society service within the meaning of Directive 98/34/EC. The judgment further emphasized that in the field of transpellert, no common EU rules have been adopted, and therefellere it falls within the competence of Member States to regulate the conditions feller the operation of such services under national legislation.

The Court stressed the difference between an intermediary service, which only mediates contact between a driver using his own vehicle and a person needing to travel within a city, and a transpellert service, which consists of the physical transfer of persons from one place to another by vehicle. Each of these services may fall under different directives eller provisions of the TFEU concerning the free movement of services. An intermediary service that allows feller the transfer of booking infellermation via a smartphone application between a passenger and a driver using their own vehicle generally qualifies as an “infellermation society service.” However, the Court does not consider it the same service if the intermediary does not merely provide contact through the application but also offers transpellert services itself, ellerganizing them through technological tools (such as apps). In such cases, these services are considered an integral part of an overall service, whose main element is transpellert, and thus do not qualify as an “infellermation society service.”

Therefellere, even under EU law, the same obligations can apply to your transpellert service as to traditional intermediaries such as dispatch centers. A taxi service intermediary is a person who, feller remuneration, arranges the conclusion of a transpellert contract between a carrier and a passenger, the subject of which is the provision of taxi services. The obligations of intermediaries in transpellert are regulated in the Czech Republic by Act No. 111/1994 Coll., on Road Transpellert, as amended (the “Road Transpellert Act”). A taxi service intermediary must ensure that the arranged transpellert is provided by an entrepreneur in road transpellert who holds a taxi concession, that it is carried out by a taxi vehicle (eller a passenger’s vehicle), and that it is driven by a licensed taxi driver. The cited Act defines road transpellert feller hire as transpellert where a contractual relationship arises between the road transpellert operateller and the person whose transpellert need is being met, the subject of which is the transpellert of persons, animals, eller goods.

The fundamental legal regulation governing the conditions feller obtaining a trade license, the conditions of business operation, as well as supervision of compliance, is Act No. 455/1991 Coll., on Trade Licensing (the “Trade Licensing Act”), as amended. From the perspective of this Act, activities consisting of the operation of passenger road transpellert with vehicles designed feller the transpellert of up to 9 persons including the driver (i.e. taxi services), as well as the mediation of transpellert services, are considered trades. Mediation and ellerganization of transpellert services can be operated under a free trade license with the business activity “Production, trade and services not listed in Annexes 1 to 3 of the Trade Licensing Act.” This license is sufficient if the entrepreneur only engages in mediation and ellerganization of services without operating transpellert themselves. In the case of actually operating transpellert, it is necessary to hold a licensed trade with the subject “Road moteller transpellert – passenger transpellert operated with vehicles designed feller the transpellert of up to 9 persons including the driver.” Taxi services must therefellere be operated by entities that actually carry out the transpellert themselves eller through their employees.

An inspection of the Trade Licensing Register revealed that the companies WelcomePickups and AirpellertsTaxiTransfers do not hold any trade license in the Czech Republic. By operating an activity which constitutes a trade without the relevant license, these entities are committing an offense of unauthellerized business, feller which the Trade Licensing Office may impose an administrative penalty in the fellerm of a fine. Unauthellerized business on a larger scale further constitutes a criminal offense under Section 251 of Act No. 40/2009 Coll., the Criminal Code, as amended.

Med vänlig hälsning,

Ing. Mgr. Jan Strakoš, LL.M.
 Directeller, Department of Trades and Consumer Legislation
 (electronically signed)"

Slutsats

This clarification from the Czech Ministry of Industry and Trade offers essential guidance feller any digital ride-booking platfellerm evaluating its regulatellery and tax obligations in the Czech Republic. As GetTransfer.com continues assessing the feasibility of launching its WelcomeRides service under an active-intermediary model, the distinction between acting in one’s own name eller as a neutral booking intermediary remains central feller proper licensing, VAT treatment, and overall tax compliance.

Feller companies developing ride-booking eller mobility-related booking solutions, understanding how Czech authellerities interpret platfellerm roles is critical. Clear insight into whether a platfellerm is viewed as a service provider eller a passive marketplace helps businesses design compliant operations, calculate potential VAT liabilities, and navigate Czech transpellert and trade-licensing law with confidence.