KSeF in practice: how to prepare agreements to secure cooperation with contractors?

KSeF and securing cooperation with contractors

In business practice, many agreements contain provisions regarding the method of issuing invoices, their content, and the form of delivery. From the entry into force of the mandatory KSeF, some of these issues will result directly from the regulations, and the extent to which the parties will be able to regulate them independently will change.

KSeF offers entrepreneurs a wide range of possibilities, but at the same time requires precise definition of the rules of cooperation – so that the new system becomes a support rather than a source of problems. We would also like to point out that after KSeF comes into force, the standard provisions on invoicing currently used in agreements will cease to apply. Therefore, it is worth reviewing the content of existing and new agreements with contractors and, if necessary, regulating several key issues in them.

What to look for inagreements with contractors?

Here are four areas that are particularly worth considering when it comes to securing cooperation with contractors at the agreement level:

1. Invoices issued by Polish company to foreign contractors

When cooperating with foreign entities that are not required to use KSeF, it is worth specifying in the agreement the rules for issuing and transmitting invoices. According to the rule, invoices will be generated in the KSeF, while their visualization (e.g., in PDF format) will be sent to the foreign contractor as part of the contractual arrangements between the parties. It is therefore worth specifying: - the form and method of sending invoice visualizations (e.g., PDF format sent to a specified e-mail address), - the deadline for sending the visualization after issuing the invoice in KSeF, - the parties' responsibility for any errors in the data or delays in sending invoices, - issues related to the language of the invoice and the currency of settlement.

2. Scope of data included on the invoice

It is worth specifying in the agreement what additional information, apart from the mandatory elements of the structure, should be included on the invoice. This may include, among others: - agreement number, - order number, - project designation, - settlement unit, - other data relevant to the parties. It is a good idea to establish these requirements before you start using KSeF and communicate them to your contractors. This can help you avoid having to make corrections in the system after invoices have been issued.

Emergency mode

The contract should also specify the method of issuing invoices in “Emergency” mode. When working with contractors who are required to use KSeF, it is possible to agree on a method of delivering invoices outside KSeF. This will allow for uninterrupted business operations and payment settlements. A similar approach can be applied in “Total emergency” mode.

4. Self-invoicing – rules and procedures

The new regulations will also affect the self-invoicing process. In this regard, it is worth regulating the following in agreement: - the scope of authorization to issue invoices, including the obligation to grant appropriate rights, - the invoice approval procedure, - the parties' responsibility for the correctness of data and the timeliness of document transfer and invoice issuance.

In practice, before issuing an invoice, the buyer provides the seller with a draft for approval, e.g., in electronic form. Once approved, the invoice can be issued and submitted via KSeF.

An important element of preparations for KSeF

The above are just some of the key issues that are worth regulating in contractual relations with contractors. It is also worth securing areas such as: calculation of payment terms (invoice issued in KSeF vs. invoice sent by email or in another form) or sending attachments and other documents together with the invoice in contracts. It is worth preparing properly for the introduction of KSeF in order to avoid doubts and unclear situations in relations with contractors, including, for example, in the area of mutual settlements (payment terms).

The new regulations leave entrepreneurs some freedom to regulate their mutual relations. If you do not know exactly where to start or have doubts about how to do it properly, please contact us.

Olesiński i Wspólnicy advisors will be happy to assist you in this regard and adapt the content of existing agreements to avoid situations that could lead to the destabilization of contract performance.

Article prepared in cooperation with Olesiński & Partners Sp. k.

Authors: Aleksy Zięba, Paweł Stanek