Saudi Arabia: E-invoicing requirement extended to 10th group of taxpayers from 1 October 2024

Criteria for selecting targeted taxpayers in tenth wave for implementing “integration phase” of e-invoicing announced

Criteria for selecting targeted taxpayers in tenth wave

The Zakat, Tax and Customs Authority (ZATCA) on 29 March 2024 announced the criteria for the 10th group of taxpayers required to comply with the second phase of the e-invoicing system implementation. This is part of ZATCA's initiative to modernize the tax system and enhance compliance.

The 10th group will include taxpayers whose VAT-liable revenues exceeded SAR 25 million in 2022 or 2023. The second phase, also known as the integration phase, involves integrating taxpayers' e-invoicing solutions with the FATOORA Platform. The mandate for this group will commence on 1 October 2024.

ZATCA clarified that this phase will necessitate issuing e-invoices in a specific format and adding extra fields to the invoice. Given the phased approach, ZATCA will provide taxpayers with a six-month notice before their compliance date. This phase also introduces additional requirements for storing e-invoices, including the QR code.

ZATCA urges taxpayers to prepare for the second phase of e-invoicing implementation and to seek authority guidance if necessary. It also reminds taxpayers that e-invoicing system compliance is obligatory, and non-compliance may lead to penalties.

For further information, contact a KPMG tax professional.

Kathya Capote Peimbert |



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