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VAT invoice as evidence in court

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​​​​​​​​​​​​Anna Smagowicz-Tokarz and Wojciech Śliz

3 October 2024


Due to the very fast pace of business, transaction formalities are often minimised these days. In particular, those having a well-established business relationship place their orders verbally and issue an invoice for the provided service later on. While such practice has no negative consequences as long as both parties perform their obligations properly, problems arise in the event of a conflict, when they need to pursue their claims in court. Then, it often turns out that the only trace of a completed order is a VAT invoice. 

Read on to find out what role a VAT invoice can play in a civil lawsuit and how it may affect the outcome of the proceedings.

VAT invoice as evidence in civil proceedi​​ngs


According to the Polish Code of Civil Procedure (CCP), a VAT invoice is a private document, which means that it only proves that the entity that has issued it has made a statement to that effect. In other words, the mere presentation of an invoice will not automatically prove that the goods have been delivered to the customer in accordance with the details indicated on the invoice. The case law also supports this view. In its judgment of 6 July 2023 (file no. I CSK 5820/22) the Supreme Court ruled that an invoice alone would never be the only piece of evidence substantiating a claim, and the claimant would need to present other evidence to prove contract conclusion and its performance. 

In this regard, bear in mind that in commercial disputes documentary evidence has primacy, and the court may admit witness testimony only as a supplement. This may result in losing the case as holding just a VAT invoice may not be enough to substantiate one’s claim.

However, this does not mean that the invoice alone is worthless in civil proceedings. Nonetheless, there should be additional circumstances. In order to demonstrate that an obligation has indeed been properly fulfilled, in addition to presenting the invoice itself, it is worth mentioning that the customer accepted it without any objections and did not send it back to the issuer after the receipt. Also, the fact that it has been posted in the customer’s financial documents may indirectly prove that the contract has been duly performed according to the details on the invoice. Customer’s disclosure of invoice in his VAT-7 return for the period may also serve as an important piece of evidence. This will prove that the customer has notified the relevant tax office of the acceptance of an invoice arising from the contractual relationship between the parties. However, it can be difficult or even impossible to obtain such a tax return on your own. We have described how to resolve this situation below.

Summing up, the presentation of an invoice alone in trial may not be sufficient, but the chances of winning a lawsuit increase when, in addition to the invoice, you invoke circumstances showing that the customer has accepted the invoice and disclosed it accordingly. The case law confirms this standpoint too. For example, the Court of Appeal in Białystok (file no. I ACa 221/14) has ruled, among others, that the customer’s unconditional acceptance of an invoice without any objections and its subsequent recording and posting may prove that a contract has been concluded and discharged.

Request for production of documents by the defenda​​nt


Demonstrating that the customer has indeed recorded the VAT invoice sent to him may prove problematic, as all the documents to prove this will be held by the customer or the revenue authorities. In such circumstances, a request for production of a document (Article 248 CCP) may come to the claimant’s rescue. In order to use this legal instrument, it is best to include the request to the court to order the other party to produce a specific document already in the statement of claim. It is important to specify the exact document(s) which the claimant is requesting. The documents that may confirm the posting of an invoice can be both a VAT-7 return and a Standard Audit File for Tax (SAF-T) which contains, among others, a list of the invoices held by the entity. In making such a request, it must additionally be shown that the claimant is unable to obtain such a document himself. 

If the request is granted, the court will order the defendant to produce the document. Although, in civil proceedings there is generally no obligation to produce self-incriminating documents, in such a case the defendant will not be allowed to refuse to follow that order if the damage to which he would be exposed by doing so is losing the case (Article 248(2) CCP). Nonetheless, in court practice defendants often resist producing these documents, citing their company's trade secrets. In such a case, the court will have to assess whether the refusal to produce the documents is justified or not. If it finds it unjustified, the court will decide on the basis of Article 233 CCP what weight to give to the refusal to produce a document, which may mean that it will consider the circumstances to be proven with those documents to be true.

Invoice as the sole basis for a final judgment – order-for-payment proce​dure


Despite the above, in some cases the invoice alone may be a sufficient basis for a final judgment. This may be the case if the claimant requests that the case be heard by the court in an order-for-payment procedure and presents an invoice signed (accepted) by the customer and, after the payment order is issued, the defendant does not challenge it in time. Then, according to the case law, the invoice is considered “a bill accepted by the debtor” as per Article 485(1)(2) CCP. 

Sum​mary


Presenting a VAT invoice alone to the court to support your claim may end in the dismissal of your claim. This does not mean, however, that a VAT invoice is worthless in civil proceedings as it may be important supplementary evidence in the case. Nonetheless, you should always make sure that you have additional documents to prove the conclusion and discharge of the contract so as not to risk losing the case at trial. ​

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Anna Smagowicz-Tokarz

Attorney at law (Poland)

Associate Partner

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