Legal aspects of using KSeF: what do you need to know?

KSeF – National Electronic Invoice System – enables structured invoice generation and sharing. Since 2019, these documents have been used mandatorily across the EU in public procurement. In Poland, some legal steps have already been taken that will allow to expand the scope of the system and use structured invoices in xml format in accordance with the logical structure of electronic invoices FA(2) published in the Central Repository of Electronic Document Templates on the ePUAP platform.

The legal basis for operating KSeF in Poland is:

• The law issued on October 29, 2021 amending the Goods and Services Tax Law and some other laws (Laws Gazette of 2021, Clause 2076). The basis of the platform’s operation are the provisions contained in the Value Added Tax Law – in Art. 106na-106.
• Council Executive Decision (EU) 2022/1003 of 17 June 2022 allowing the Republic of Poland to apply a special measure derogating from Article 218 and 232 of Directive 2006/112/EC on the unified system of value-added tax (OJ EU L 168, 27/06/2022 , pages 81-83).
• Law issued on June 16, 2023 amending the Goods and Services Tax Law and Certain Other Laws (Journal of Laws of 2023, Section 1598).

Poland is a pioneer among other EU member states in introducing an electronic invoice exchange system. Already in 2022 Ministry of Finance Launching the National Electronic Invoice System platform. It is used to issue and receive electronic invoices. When will it be mandatory for Polish businessmen?

Gradually, this system begins to operate in Poland. The stages of introducing KSeF are as follows:

• KSeF pilot – From October to December 2021, the Ministry of Finance conducted a pilot with the participation of taxpayers to verify the efficiency of the KSeF and adapt the system. You can still use the shared KSeF test environment.
• Voluntary dissolution of KSeF – From 1 January 2022, the KSeF system can be used on a voluntary basis.
• EU Council approval to make electronic invoicing mandatory in Poland – Exception Decision issued on 17 June 2022.
• Introduction of the obligation to use KSeF for large enterprises – as of July 1, 2024.
• Introduction of the obligation to use KSeF by all taxpayers – as of January 1, 2025.

In fact, work began in 2016 on implementing a policy that would tighten the tax system. At that time, the “KSeF Project”, that is, the National Electronic Invoice System Project, was prepared.

Pursuant to the provisions of the Law of 9 November 2018 relating to electronic invoicing in public procurement, concessions for construction or service works and public-private partnerships (Code of Laws of 2020, section 1666), the PEF system and the KSeF system are two systems that operate separately in relation to each other.