Saudi Press

Saudi Arabia and the world
Thursday, Mar 28, 2024

First phase of mandatory E-invoicing comes into force in Saudi Arabia 

First phase of mandatory E-invoicing comes into force in Saudi Arabia 

The first phase of the mandatory electronic invoicing (FATOORAH) regulations has come into force in Saudi Arabia on Saturday. An e-invoice is a tax invoice that is issued electronically by each taxpayer subject to value added tax (VAT) in the Kingdom.
The E-invoicing involves implementation of the electronic invoice generating and saving mechanism. It includes all taxpayers who come in the purview of VAT in the Kingdom, as well as any other parties issuing tax invoices on behalf of suppliers subject to VAT. Non-resident taxable persons for VAT purposes are exempted from this.

Tax payers must generate electronic invoices using compliant e-invoicing systems. Manual and hand-written invoices will no longer be considered as compliant tax invoices.

The Zakat, Tax and Customs Authority (ZATCA) stated that the first phase of E-invoicing means the complete cessation of using and issuing handwritten invoices, the invoices that have been written through computer programs such as text editing software or number analysis software.

The ZATCA noted that the first phase included the importance of ensuring the existence of a technical solution for E-invoicing that complies with its previously announced requirements.

Additionally, it has to ensure issuing and saving the E-invoices with all simplified elements, such as: - The simplified tax invoices with a QR code.

- The serial number that identifies and simplifies the tax.

- The tax number of the buyer registered in the VAT for tax invoices.

- The invoice address depending on the type issued.

The authority lauded the enhanced awareness that it monitored among a large percentage of taxpayers and their readiness before the date set for implementing the first phase, saying that this confirms the authority's role in raising awareness and preparing private sector establishments with the requirements of applying E-invoicing.

The ZATCA has launched a detailed guide containing explanation of all definitions related to the E-invoicing, in addition to an explanation of the categories that will be subject to the E-invoicing regulations, types of E-invoicing and types of transactions.

In addition to launching an educational journey for E-invoicing on its website, which includes all the information and details related to E-invoicing, the stages of application, the requirements of each of the two stages, as well as the prohibitions of E-invoicing solutions.

It is noteworthy that Saudi Arabia launched in August the E-invoicing (FATOORAH) project, as it is considered as one of the most important projects being implemented in the Kingdom.FATOORAH project is expected to produce a major positive impact on the Saudi economy, which will contribute to bringing down hidden economy transactions and promote fair competition.
Newsletter

Related Articles

Saudi Press
0:00
0:00
Close
Reports in Gaza: 5 dead from the impact of aid packages dropped by the USA
Apple warns against drying iPhones with rice
China Criticizes US for Vetoing UN Ceasefire Resolution in Gaza
In a recent High Court hearing, the U.S. argued that Julian Assange endangered lives by releasing classified information.
The U.S. vetoed a U.N. Security Council resolution calling for a temporary ceasefire in Gaza, instead proposing its own six-week ceasefire plan contingent upon the release of all hostages held by Hamas
Prince William Urges End to Gaza Conflict
Saudi Arabia ranks first in UN index for e-government services in MENA
Israel has gone ‘beyond self-defence’ in Gaza, says Labour’s Streeting
EU Calls for Immediate Ceasefire in Gaza Conflict
Israel Records 20% Drop In GDP, War In Gaza Is The Reason
Saudi Arabia's FDI Inflows Grow with New International Standards
Venture Capitals Power Up Across MENA Region
Saudi Arabia Introduces Terms for 30-Year Income Tax Exemption for Multinational Companies
Saudi FM: Establishing Palestinian state is only pathway for Mideast stability
Russian opposition leader Alexey Navalny has died at the Arctic prison colony
Elon Musk's Starlink Gets License For Israel, Parts Of Gaza
Influencers Exploit X Platform for Profit Amidst Israel-Gaza Conflict
PM Modi Announces Opening Of New CBSE Office In Dubai
International Criminal Court's Chief "Deeply Concerned" By Rafah Bombing
January Funding for MENA Startups Totals $86.5 Million
Saudi Arabia accelerates digital economy growth through Nvidia partnership
Indian female military officers commend Saudi Arabia's progress and women's empowerment
Israel unveils tunnels underneath Gaza City headquarters of UN agency for Palestinian refugees
Israel deploys new military AI in Gaza war
Egypt threatens to suspend key peace treaty if Israel pushes into Gaza border town, officials say
Israel Utilizes AI Military Technology in Gaza Conflict
Saudi Arabia Warns Of A "Humanitarian Catastrophe" If Israel Moves On Rafah
China Warns Iran to Halt Houthi Attacks or Damage Trade Ties
US University To Shut Qatar Campus Due To "Heightened Mideast Instability"
Iran-backed hackers interrupt UAE TV streaming services with deepfake news
Facebook and Instagram Ban Iran's Supreme Leader
Finnish Airline, Finnair, is voluntarily weighing passengers to better estimate flight cargo weight
U.S. Secretary of State Blinken: The Israelis underwent dehumanization on 7.10, this does not give them the right to do this to others.
Defense Technology Showcase Held in Riyadh
Saudi Arabia’s non-oil exports rise 2.5% to $6bn in November 2023: GASTAT
UK Bans Misleading "Zero Emissions" Claims for Electric Cars
Gaza's Teen Inventor Sparks Light in Displacement
Netanyahu Rejects Ceasefire Proposal, Insists On Total Victory Over Hamas
Guterres appoints independent UNRWA review panel
Private Sector Employment Hits Record High with Over 11 Million Employees in January
Rolls-Royce Executive Encourages Saudi Women to Tap into Their Inner 'Superhero' for Success in Defense Industry
Saudi Arabia launches National Academy of Vehicles and Cars
Saudi Tourism Minister Reveals Plan for 250,000 New Hotel Rooms by 2030
SAR to more than double eastern network passenger capacity with new trains deal
Saudi Arabia Enhances National Defense with New Partnerships
Saudi Aramco Maintains Arab Light Crude Pricing to Asia for March
NEOM Establishes New York Office to Support Investors
Saudi Wealth Fund Draws in Over $25 Billion Worth of Investments in Three Years, Al-Rumayyan Reveals
ZATCA Cautions Against Scammer Schemes
INTRA Defense Technologies inaugurates drone factory in Riyadh
×