Cities across the Czech Republic have gained new tools to crack down on street vendors who exploit charitable fundraising as a cover for commercial activities. Thanks to a recent amendment to the public collection law, municipalities can now ban the sale of tourism-related items and tickets under the guise of charity in public spaces.
Prague is taking the lead in implementing these measures, particularly targeting the notorious “umbrella sellers” who often prey on tourists. These vendors, typically carrying colorful umbrellas, attempt to sell overpriced sightseeing tickets in areas where street vending is prohibited. The city council has already approved a decree that will take effect from March 1st, pending final approval from the city assembly.
The new law also establishes a minimum charitable contribution requirement. “Previously, some vendors were giving only a tiny percentage of their profits to charity. Now, at least 40% must go to charitable causes,” explains Klára Šplíchalová, Executive Director of the Donors Forum. This means that for every 100 crown purchase, at least 40 crowns must support charitable purposes.
The legislation has also simplified the process for legitimate fundraising, particularly for cashless collections. Organizations no longer need to register cashless fundraising campaigns with regional authorities, allowing for quicker responses to various events while maintaining transparency through bank transfers and payment gateways.
While the law aims to modernize charitable giving and bring it into the 21st century, authorities remain vigilant. All fundraising activities, whether registered or not, are subject to tax documentation and financial oversight, with law enforcement ready to investigate any suspected fraud.