Own personally or through a company?

Individual ownership as the default option

For standard titled private real estate, a foreign national generally does not require a company solely on account of their nationality. Direct ownership can be straightforward for a simple purchase intended for personal use. However, tax and inheritance considerations must still be assessed.

Multiple buyers need to structure ownership shares and decision-making: who covers running costs, who may use the property, and what happens in the event of a share sale or death. A clear agreement is essential, even among family or close associates.

What a corporate structure can address

A company can provide a framework for multi-investor participation and asset management. The scope of protection depends on the legal form, articles of association, guarantees, and actual conduct; it cannot simply be inferred from an S.A. or S.R.L. designation.

Before incorporation, define voting rights, signatory powers, share transfers, dispute resolution, and cash management. If a single local representative controls everything, formal share ownership may not translate into practical control for the investor.

A company is not a maintenance-free shell

Hacienda publishes details regarding RTBF—the registry of shareholders and ultimate beneficial owners—as well as reporting obligations for inactive legal entities. An inactive company therefore entails neither zero administration nor anonymity before the authorities.

Request an annual compliance schedule and budget from a local accountant: applicable taxes, filings, submissions, and statutory powers. Verify specific forms and deadlines on a current basis; dated guides are not a reliable source for current deadlines.

Buying property or an existing company?

When acquiring shares, corporate liabilities must be scrutinised, not merely the property title. This includes accounting records, contracts, taxes, signatory authorisations, and potential litigation. A clean registry extract for the land does not establish a clean company.

Transfer tax regulations also encompass certain indirect transfers of control. The claim that selling shares automatically avoids transfer tax is untenable. An assessment must be conducted by a professional for each specific transaction.

Investor residency may alter the choice

Decree No. 43926 of 2023 distinguishes between direct personal ownership for the real estate investor route and equity investment in an economically active company. Consequently, real estate held by an inactive company cannot automatically be deemed to satisfy the criteria for the personal property investment route.

If residency is a priority, have the applicable category and required documentation confirmed with DGME and an immigration lawyer prior to acquisition. Selecting a structure based purely on real estate advice may subsequently complicate the application.

Decision matrix

Two legal worlds must work together

A Costa Rican lawyer and accountant should clarify the local structure, whilst a Czech adviser evaluates the implications for the specific Czech tax resident. Provide both sides with an identical description of ownership, income, and purpose. The decision should be based on aggregate ongoing obligations, not merely the initial cost of incorporation.