How to bill for services according to the law: The complete guide for landlords

Detailed instructions for invoicing services connected with the use of the apartment. Deadlines, calculations, mandatory requirements and the most common mistakes.

Introduction to the issue of billing services

Billing for services connected with the use of the apartment is one of the most demanding administrative duties of the landlord. Act 67/2013 Coll. and its amendments specify exactly what the bill should look like, what the deadlines are and what happens if the landlord does not meet them. In this article, we will provide you with complete instructions on how to correctly perform service billing and avoid fines.

Legal framework for service billing

Law 67/2013 Coll.

This law regulates some issues related to the provision of services associated with the use of apartments. Key points:

The lessor must bill the services within 4 months from the end of the billing period
The billing period is usually a calendar year
The tenant has the right to inspect the documents
If the deadline is not met, there is a risk of sanctions

Decree 269/2015 Coll.

Supplements the law on the details of billing for services. Determines:

Billing methods for individual services
Units of measurement for billing
Rules for meter readings

Which services are billed

Mandatory billed services

Heat and hot water

Heating costs
Hot water heating costs
Billing according to consumption and floor areas

Cold water and sewage

Water according to consumption (water meter)
Sewage according to water consumption
Flat-rate items (basic price)

Electricity of common areas

Corridor and staircase lighting
Elevator operation
Cellar and attic lighting

Optionally billed services

Cleaning of common areas
Garbage collection
House management
Real estate insurance
Repair fund (at SVJ)

Step by step: Billing procedure

1. Collection of documents

Before you start billing, prepare all the necessary documents:

Invoices from of suppliers:

Bill from the heating company
Water and sewage bill
Invoices for electricity of common areas
Invoices for waste removal
Invoices for cleaning

Internal documents:

Water meter readings (initial and final status)
Heat meter readings
Record of advances paid tenants
Floor areas of individual apartments

2. Calculation of costs for individual services

#### Heat and heating

Heating costs are billed in two components:

Basic component (percentage required by the current heat-allocation rules): It is billed according to the floor area of the apartment. Calculation:

Total costs x percentage of basic component / total floor area x apartment floor area

Consumption component under the current heat-allocation rules: It is billed according to the measured values on the heat meters. Calculation:

Total costs x percentage of consumption component / total sum of parts x parts of the apartment

#### Hot water

Like heat has two components:

Basic component (30% of costs):

Billing according to the number of people or floor area

Consumption component (70% of costs):

Billing according to measured consumption on the hot water meter

#### Cold water

It is billed according to the measured consumption
In the absence of a water meter according to the applicable current guideline or statutory method
Sewage is calculated from the water consumption

#### Electricity in common areas

Billing options:

According to the number of people in the apartment
According floor area
Combined

3. Compilation of the bill

The bill must contain the following details:

Identification:

Identification of the billing period
Identification of the apartment and tenant
Date of issue

Overview of costs:

Individual services and their costs
Total costs of services
Method of invoicing

Financial overview:

Total amount of paid advances
Total amount of costs attributable to the apartment
Difference (overpayment or underpayment)
Maturity of overpayment or underpayment

4. Delivery to the tenant

The bill must be delivered to the tenant no later than 4 months from at the end of the accounting period. For the accounting period of the calendar year, that is until April 30.

Methods of delivery:

In person against signature
By registered mail
Data box
By e-mail with confirmation of reading

Deadlines and penalties

Key deadlines

Event	Term
End of billing period	31. 12.
Meter readings	Until 15. 1.
Billing of services	Until 30. 4.
Due date of overpayment/underpayment	Within 4 months of delivery
Billing complaints	Within 30 days of delivery

Penalties for non-compliance

If the lessor does not deliver the bill on time, a statutory penalty may be available; verify the current Services Act for its conditions, amount and cap.

Most frequent billing errors

Formal errors

Missing details - Incomplete billing is invalid
Bad settlement calculation - Use of incorrect coefficients
Non-compliance with deadlines - Late delivery of invoices
Missing documents - Failure to provide documents upon request

Factual errors

Inclusion of unnecessary costs - E.g. repairs paid by the lessor
Bad meter readings - Faulty statuses of water meters
Incorrect floor areas - Use of outdated data
Incorrect registration of persons - Out-of-date number of persons in the apartment

How to complain about the bill

Tenant's rights

The tenant has the right to:

Inspect the documents for the bill
Request copies of documents (for payment)
File objections within 30 days of delivery
Request the correction of an incorrect billing

Complaint procedure

Written objection with specific reservations
The lessor must respond within 30 days
If the objection is not recognized, the possibility of a court solution

Modern invoicing tools

Automation using software

Modern applications for rental management greatly simplify service invoicing:

Grento offers:

Automatic calculation of invoicing according to the law
Generation of documents ready to be sent
Records of advances and their comparison with costs
Archive billing for previous years
Notification of upcoming deadlines

Advantages of digitization

Reduction of calculation errors
Saving time during preparation
Easy archiving and traceability
Automatic calculations according to current legislation

Practical tips for trouble-free billing

Continuous records

Keep records about advance payments on an ongoing basis
Record the number of people in the apartments and their changes
Archive all invoices from suppliers
Take meter readings on time

Communication with tenants

Inform about the date of readings in advance
Explain the method of billing
Answer questions on time
Offer a personal consultation billing

Dispute prevention

Use understandable forms
Attach a detailed breakdown of costs
Document the method of billing
Keep documents for at least 3 years

Conclusion

Correct billing of services requires knowledge of legislation, careful preparation and accurate calculations. By following the deadlines and following the correct procedure, you will avoid fines and conflicts with tenants. Using specialized software will save you time and minimize the risk of errors. Remember that transparent billing is the basis of a good relationship with tenants and a smooth tenancy.

> Czech-law scope and editorial note: Legal, tax, accounting, tenancy, service-charge, condominium, metrology, insurance and data-protection statements in this article refer to the Czech Republic and the rules effective for the relevant date. Figures and examples are illustrative, not legal or tax advice. Verify current rules with the relevant Czech authority or a qualified adviser.

> Service-accounting clarification: Under Czech Act No. 67/2013 Coll., distinguish delivery of the settlement within four months after the accounting period, financial settlement generally within four months after delivery, and the separate 30-day periods for supporting documents or objections under § 8. A statutory per-day penalty under § 13 is conditional; verify the current amount and cap rather than applying a universal figure.