With the introduction of Poland’s National e-Invoicing System (KSeF), many individuals – including those operating on a very small scale – are wondering whether the new rules apply to them. 

The answer depends on several important factors. 

What is unregistered activity? 

Unregistered activity allows individuals to earn income without formally registering a business, provided that: 

• their income stays below a statutory threshold, 
• they have not run a business in recent years, 
• they have not run a business in recent years, 

Although not formally a business, such activity may still be treated as economic activity for VAT purposes. 

VAT perspective 

From a VAT standpoint, individuals conducting unregistered activity can be considered taxpayers. However, in practice, most of them benefit from VAT exemption due to low turnover. 

This distinction is crucial when assessing invoicing and KSeF obligations. 

When does KSeF apply? 

KSeF is gradually becoming mandatory for VAT taxpayers. In general: 

• it applies to entities issuing VAT invoices, 
• requires a tax identification number (NIP), 
• involves operating as a VAT taxpayer. 

Many individuals running unregistered activity do not meet these conditions. 

Why most individuals will not use KSeF 

In practice: 

• sales to private individuals usually do not require invoices, 
• invoices are issued only upon request, 
• many activities remain VAT-exempt. 

As a result, KSeF will not be relevant for most small-scale operators. 

When can KSeF become relevant? 

KSeF obligations may arise if an individual: 

• starts invoicing businesses,
• registers for VAT,  
• obtains a tax identification number. 

At that point, compliance with KSeF rules becomes necessary. 

Receiving invoices without a tax number 

Individuals without a tax identification number (using only a personal ID number) typically receive invoices outside the KSeF system. 

Only those who actively use a tax number in transactions may need to interact with KSeF. 

Conclusion 

Unregistered activity is not automatically subject to KSeF. 

Key factors include: 

• VAT status, 
• invoicing obligations, 
• use of a tax identification number. 

In most cases, individuals operating at a small scale will not need to use KSeF – at least in the early stages.