Bare KSeF invoice may not suffice for cost deductions in Poland

A Polish taxpayer has raised concerns about the sufficiency of invoices issued through the National e-Invoicing System (KSeF) for the purpose of deducting business costs. The reader, who manages their own accounting, notes that KSeF invoices often contain only general descriptions, marketing names, or abbreviations, making it difficult to ascertain the specific business purpose of a purchase.

Previously, with paper invoices, the taxpayer could add handwritten notes on the reverse side to clarify the necessity of a purchase for their business, aiding memory and potential tax audits. However, the KSeF system does not allow for such additions to electronic invoices. This limitation poses a challenge for taxpayers seeking to justify their cost deductions.

Experts are advising that to avoid potential problems with tax authorities, taxpayers may need to supplement KSeF invoices with internal documents or additional descriptive entries during the bookkeeping process. This proactive approach aims to ensure that the purpose of each expense is clearly documented and justifiable, even when the initial invoice lacks specific detail.