Poland Prepares for Mandatory Electronic Invoicing 

Starting July 1, 2024, it will be mandatory for larger companies in Poland to exchange invoices electronically. 

As part of this change, these companies will also be required to use the KSeF portal. This portal is used to approve and exchange B2G and B2B invoices. The format to be used when sending invoices through the Polish KSeF portal is FA_VAT, which is an XML-based format. 

It is important for companies with activities in Poland to prepare for this transition to electronic invoicing and to become familiar with the requirements of the FA_VAT format. 

As the implementation date approaches, we are experiencing some uncertainty about which companies will be affected by these new rules. Therefore, we have written this blog post to provide clarity on who needs to register e-invoices in the KSeF portal. 

Understand the new requirements in Poland: Who should register e-invoices in KSeF? 

1. Companies that issue invoices internally in Poland? YES to KSeF 
   If you issue invoices internally in Poland from one Polish company to another Polish company, and both companies have a Polish VAT registration number, then you must register e-invoices in KSeF. 

2. Companies with foreign headquarters and a branch in Poland? YES to KSeF 
   Companies with headquarters in another country but also have a branch in Poland with a Polish VAT registration number and issue invoices to another Polish company must also register e-invoices in KSeF. This is relevant when a foreign company’s Polish branch is involved in business activities in Poland. 

3. Companies with a Polish VAT registration number and location in Poland? YES to KSeF 
   If your company has a Polish VAT registration number, with an office or factory in Poland, and you send invoices to a foreign company that does not have a Polish VAT registration number, you also need to register e-invoices in KSeF. This applies to companies operating in Poland and supplying goods or services to foreign companies without Polish VAT registration. 

4. Foreign companies without a Polish VAT registration number? NO to KSeF 
   Finally, if a foreign company without a Polish VAT registration number sends invoices to a company in Poland that has a Polish VAT registration number, you do not need to register e-invoices in KSeF. 

The new rules on e-invoices in Poland are designed to improve the invoicing process and reduce VAT fraud. By understanding who needs to register e-invoices in KSeF, your company can ensure compliance with these essential changes. 

Watch our webinar, where our experts will elaborate on these topics and provide firsthand insights and practical tips for maintaining accurate and seamless tax compliance in Europe.