Flat-rate expenditure

Must a non-VAT-paying sole trader using flat-rate expenses receive e-invoice even if the invoices are not booked as costs?

Short answer

Yes. The fact that a sole trader using flat-rate expenses does not claim each received document as an individually evidenced cost does not affect the obligation to be able to receive e-invoice. Flat-rate expenses are calculated as a percentage of income rather than from individual documents. The receiving obligation is a general technical-readiness requirement linked to the person’s status as a taxable person under the VAT Act, not to how a particular document is reflected in the income-tax return.

Obligation to accept

Technical readiness

It does not depend on how the document is translated into tax.

Flat-rate expenditure

The issue of income tax

They are calculated by percentage of income, not by individual document.

Two Independent Laws

VAT vs. Income tax

Different issues, different regulations.

Practice

Adoption required anyway

Supplier obliged to issue e-invoice it must be sent regardless of the method of expenditure of the beneficiary.

Detailed explanation

It is important to distinguish between two different aspects: the obligation to receive e-invoices stems from the VAT Act and relates to the technical ability to receive a document, regardless of its subsequent use, whilst the method of claiming expenses (flat-rate or substantiated) is a matter for the Income Tax Act and deals solely with how expenses are calculated when preparing a tax return. Even self-employed persons claiming flat-rate expenses must therefore have a contracted digital mail service provider in order to receive an e-invoice from a supplier who is obliged to issue it, even though the amount from that specific invoice will not ultimately be claimed as a separate verifiable expense.

As set out in the Act

The obligation to accept electronic invoices arises from Act No. 222/2004 Coll. on VAT, as amended by Act No. 385/2025 Coll. (Sections 71 and 85o), and is linked to the status of a taxable person. The method of claiming expenses in the form of flat-rate expenses is regulated separately by Section 6(10) of Act No. 595/2003 Coll. on Income Tax, which is unrelated to the obligations under the VAT Act.

Practical examples

A self-employed person using flat-rate expenses will accept an e-invoice for the purchase of materials from a VAT payer, even though they calculate their expenses on a flat-rate basis.
The received invoice will not appear as a separate line item in the self-employed person’s verifiable expenses, but they must still be able to accept the document.
A switch from flat-rate to verifiable expenses in the following year does not alter the obligation to accept e-invoices, which was already in force previously.

Most common mistakes

“If a self-employed person does not claim individual documents as expenses, they do not have to accept them either.” The obligation to accept e-invoices is linked to the status of a taxable person, not to the method of claiming expenses.
“Flat-rate expenses are an exception to the obligations under the VAT Act.” This is a separate provision of the Income Tax Act, which does not alter the obligations under the VAT Act.
“A supplier is not required to send an e-invoice to a customer who claims flat-rate expenses.” The supplier’s obligation to issue and send an e-invoice does not depend on how the customer calculates their expenses.

Conclusion

A BTI with flat-rate expenditure must be able to accept e-invoice irrespective of the fact that the individual documents are not charged separately to demonstrable costs.

Legal basis

Act No. 222/2004 Coll. on VAT, Section 71 a Section 85o (as amended by Act No. 385/2025 Coll.)
Act No. 595/2003 Coll. on income tax, Section 6(10)