E-Invoicing Integration Phase: ZATCA's Criteria and Timeline for Targeted Taxpayers

KSA, 30 March, 2024 : The Zakat, Tax, and Customs Authority (ZATCA) have determined the criteria for selecting targeted taxpayers in the tenth wave of implementing the "Integration Phase" of E-invoicing. This wave includes all taxpayers whose revenues subject to VAT exceeded 25 million Saudi Riyals during 2022 or 2023.

ZATCA will notify all targeted taxpayers in the tenth wave to integrate their e-invoicing solutions with the FATOORA Platform starting from October 1, 2024. Phase Two (Integration Phase) entails additional requirements compared to Phase One (Generation Phase), such as integrating e-invoicing solutions with ZATCA's platform, issuing e-invoices based on specific formats, and including additional fields in the invoice. The Integration Phase will proceed gradually in waves, with ZATCA informing the following waves directly at least six months before their Integration Date.

This phase of e-invoicing aligns with the economic development and digital transformation in the Kingdom and builds upon the success of Phase One. Phase One, introduced on December 4, 2021, required taxpayers subject to E-invoicing Regulation to cease generating handwritten or computer-generated invoices via text editing software, ensuring compliance with technical solutions for e-invoicing. The implementation of Phase One significantly improved consumer protection and witnessed strong taxpayer awareness and rapid response.

Source :www.zatca.gov.sa