E-Invoicing in Poland: Understanding KSeF and Compliance

Polish E-invoices: April 2024 Update

The new implementation calendar for KSeF  is released: 

• KSeF will be mandatory from February 1, 2026 for entrepreneurs whose sales value (including the tax amount) exceeded PLN 200 million in 2025.
• For the rest of entrepreneurs, KSeF will be mandatory from April 1, 2026.

Initially planned for July 2024, the Polish e-invoicing system was postponed due to some problems related to the code, functionality, and efficiency of the system. The postponement was announced in January 2024, and now we have the new implementation schedule. Find here the official announcement of the postponement.

The new calendar for mandatory KSeF is available at the Polish Tax Authorities website.

What is e-invoicing in Poland?

Polish tax authorities are gradually introducing the electronic invoicing requirement in Poland. The National e-Invoicing System (KSeF) is available for use on a voluntary basis from 1 January 2022. This means that since January 2022 paper invoices, non-structured electronic invoices and invoices issued via KSeF will be accepted.

An electronic invoice is an invoice that has been issued, transmitted and received in a structured data format which allows for its automatic and electronic processing. A structured electronic invoice contains data from the supplier in a machine-readable format, that can be automatically imported into the buyer's system avoiding manual entering.

Therefore, the mandate of B2B e-invoicing refers to an obligation imposed nationwide to exchange e-invoices in a certain structured data format between a supplier and a buyer in transactions that enter the scope of this mandate. Find here more information from the European Commission.

In sum, the Polish e-invoicing mandate will impact the invoicing processes, the document circulation, and the invoicing systems used by entrepreneurs.

When will e-invoices in Poland become mandatory?

The initial implementation schedule has been delayed. The National e-Invoicing System (KSeF) was initially expected to become mandatory by July 2024, in case of taxpayers benefiting from subjective or objective VAT exemptions, and for invoices issued from cash registers, January 2025. Find below the new implementation calendar:

• KSeF will be mandatory from February 1, 2026 for entrepreneurs whose sales value (including the tax amount) exceeded PLN 200 million in 2025.
• For the rest of entrepreneurs, KSeF will be mandatory from April 1, 2026.

Electronic invoicing has already been introduced or planned for the near future by a number of countries in the European Union, such as Italy, Portugal, or France.

Mandatory B2B e-invoices in Poland

The scope of mandated e-invoicing will cover B2B domestic transactions in Poland. This implies that:

• B2C domestic transactions are excluded. Similarly, invoices issued under OSS or IOSS schemes. Find here more information on those regimes.
• Tickets are also excluded from KSEF – e.g., those issued on the toll motorways.
• Invoices issued under OSS and IOSS schemes are also excluded.

Taxpayers impacted by the e-invoicing mandate include:

• Businesses registered as active VAT payers,
• Businesses exempt from VAT,
• Taxpayers identified in Poland for the special EU OSS procedure, with a Polish tax identification number NIP.

In principle, foreign taxpayers are exempted from the obligation to use KSeF, unless they have a fixed establishment for VAT purposes in Poland.

What are the advantages of opting for electronic invoicing?

The electronic invoicing introduction brings important benefits for taxpayers consisting of faster and simpler document processing, real-time invoice information for business management purposes, as well as faster VAT refunds – within 40 days, instead of 60 days – if requirements are met. The conditions to benefit from early VAT refunds are the following:

• The taxpayer opts for the KSeF solution.
• The taxpayer is registered for VAT during at least the last 12 months – active registration.
• The taxpayer submitted VAT returns for the last 12 months.
• The taxpayer has a bank account included on the white list for at least the last 12 months.
• The amount of VAT refund is not higher than 3,000 PLN.

How to generate Polish e-Invoices?

The format for electronic invoicing is an XML with the logical structure set by the tax authorities – known as FA_VAT. The e-Invoice FA(2) is published in the Central Repository of Electronic Document Templates (CRWDE) on the ePUAP platform.

Polish electronic invoices can be issued via free tools published by the Polish tax authority or using commercial programs.

Below you will find a brief overview on the steps for introducing this system:

1. Businesses will need to first notify the use of KSeF to tax authorities and also their customers.
2. It will be required that companies create an individual account in the KseF system – which requires certified identification.
3. Invoices issued are prepared according to the structured logics set by the authorities.
4. Once ready, invoices issued are sent to the KseF via an interface that enables the exchange of data. KseF verifies the correctness of the invoices and assigns an identification number.

Also, invoices are stored in KSeF can be consulted in a period of 10 years.

Polish tax authority clarifies that the National e-Invoicing System (KSeF) structure for e-invoices is different than the structure for the current PEF, for electronic invoices in public procurement, concessions for construction works or services, and public-private partnership. Also, invoices are stored in KSeF can be consulted in a period of 10 years.

Find here official information about the Polish e-invoicing mandate.