New invoicing terms

Following the amendment of the Act on Value Added Tax, new invoicing terms entered into force as of 1 January 2014. In principle, an invoice is issued no later than on the fifteenth day of the month following the month of the respective goods delivery or services performance. If, however, before such goods delivery or services performance, the due consideration was paid in full or in part, the according invoice is issued no later than on the fifteenth day of the month following the month when the consideration was received from the purchaser in full or in part.

Invoices may not be issued earlier than on the thirtieth day ahead of:

1. the respective goods delivery or services performance;
2. the full or partial consideration payment, occurring before the respective goods delivery or services performance.

In case an according invoice is issued in a foreign currency before the tax obligation arises, the seller converts the amounts invoiced into the Polish zloty according to the mean exchange rate of the given foreign currency published by the National Bank of Poland on the last working day preceding the invoicing date.

The changed VAT invoicing terms are only one of the numerous VAT related changes adopted in the new year. All are worth familiarizing with, and the most crucial ones will be presented in our Newsletter.