A joint Czech law enforcement task force known as the Tax Kobra has charged 10 people in connection with an alleged large-scale tax evasion scheme involving ride-hailing and taxi services operated through digital transport platforms.
According to the National Centre Against Organised Crime (NCOZ), the General Directorate of Customs and the Financial Administration, investigators uncovered two groups suspected of systematically reducing their tax liabilities through a network of interconnected companies. The suspects include eight foreign nationals and two Czech citizens.
Authorities allege that between 2022 and 2026, the groups built and managed dozens of companies involved in passenger transport services. Investigators believe the structure was designed to conceal revenues, avoid tax obligations and gain an unfair advantage over competitors.
The investigation found that the companies allegedly used nominee directors, regularly established new businesses, transferred vehicles and funds between entities, and changed bank accounts used to receive payments from transport platforms. Officials said the businesses generated hundreds of millions of Czech crowns in revenue, but a substantial portion of the income was reportedly omitted from accounting records and tax returns.
The suspected tax losses are estimated to exceed CZK 300 million. One group is accused of causing damage of around CZK 70 million since 2023, while the second group allegedly caused losses exceeding CZK 230 million after operating in the Czech Republic since 2022.
Investigators said members of the groups had clearly defined roles, ranging from company management and driver recruitment to accounting services, bank account administration and the creation of new companies.
The case stems from a long-term investigation conducted by the Tax Kobra, a joint initiative involving the NCOZ, customs authorities and the Financial Administration. The Financial Analytical Office and, in part, Europol also contributed to the investigation. Authorities reviewed extensive accounting, banking and tax records as well as company registry data.
During searches of homes and business premises, investigators seized electronic data storage devices, accounting documents and other evidence. More than CZK 6 million in cash, CZK 8 million held in bank accounts and several passenger vehicles were also secured.
Seven of the accused remain in custody. If convicted, the suspects could face prison sentences of up to 13 years. The case is being supervised by the High Public Prosecutor’s Office in Prague.
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