Issue with Advance Invoices in VAT
In one of its recent rulings, the Supreme Administrative Court (NSA) stated that there is no basis to consider an invoice issued more than 30 days (currently 60 days) before receiving an advance payment as a "void" invoice, provided that the advance payment was ultimately made.
In its oral justification, the NSA indicated that an invoice issued prematurely (in violation of the statutory deadline) grants the buyer the right to deduct input VAT, but not at the moment of receiving the invoice—only when the advance payment is actually made. Therefore, the right to deduct VAT from such an invoice exists but remains “suspended” until the buyer makes the actual advance payment. Only the failure to pay the advance could have negative consequences, leading to the invoice being considered “void” and depriving the buyer of the right to deduct VAT.
This ruling highlights that even seemingly straightforward matters and long-standing regulations can raise many practical doubts.
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