- A Polish VAT taxpayer providing services to an Icelandic business must issue invoices in KSeF even if the place of taxation is Iceland and the invoices include Icelandic VAT.
- Under Polish VAT rules, services supplied to a business are generally taxed where the customer is established; here that is Iceland, so the services are outside Polish VAT.
- However, Polish invoicing rules still apply to supplies made by a business established in Poland when the place of supply is in a third country, so the services must be invoiced under Polish law.
- KSeF exemptions do not cover the fact that the transaction is taxed abroad or that the supplier is registered for VAT in a third country; foreign VAT registration does not by itself remove the KSeF obligation.
- The position is supported by a recent individual ruling of the Polish tax authority concerning a Polish company issuing invoices with Icelandic VAT.
Source: prawo.pl
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
