On-line connection of cash registers to financial administration's systems should become mandatory

On 26 September 2018, the Slovak government approved with comments the draft amendment to the Act No. 289/2008 Coll. on the use of electronic cash registers and on amendments to Slovak National Council Act No. 511/1992 Coll. on the administration of taxes and fees and on changes in the system of territorial financial authorities, as amended, and amending certain other acts – new wording.

Up to now, businesses could opt for connecting to the systems of the financial administration on a voluntary basis via so called virtual cash register. Based on the draft amendment, connection to the financial administration should become mandatory. The aim is to eliminate fraud in cash receipt reporting based on introducing a mechanism for the online connection of cash registers to the financial administration’s central database.

„E-kasa” system

It is proposed that businesses be required to use an “e-kasa client” cash register to be connected to the systems of the financial administration – so called “e-kasa system”. The e-kasa client cash register means:

1. an online cash register (a set of cash register software, secured data store and hardware tools securing communication with the e-kasa system) and

2. a virtual cash register (service provided by the financial administration accessed through end user devices).

Deadlines for launching the new system

It is proposed that businesses selling goods or services who currently use electronic cash registers can start using the on-line cash register as of 1 April 2019 at the earliest and will become obliged to use such cash register starting with 1 July 2019 at the latest.

Based on the original proposal, hotels, restaurants, cafés and service stations were expected to start using the on-line cash register not later than on 1 April 2019. The Slovak government has in the end accepted the same deadline, which is 1 July 2019, for all the sectors concerned.

Businesses who wish to transfer to the virtual cash register can do so as of 1 January 2019. Those already using the virtual cash registers will be allowed to continue to use them further.

Technical requirements

On-line cash-register will have to comprise a cash-register software and a secured data store meeting the technical requirements defined by law and certified by the financial directorate. The financial administration has published information in its website on the planned practicalities of the system, including the description of the integration interface.

The draft amendment is still subject to the approval process in the Slovak parliament. However, businesses concerned should already focus on making the required technical adjustments.