Saudi Arabia witnessed the extensive implementation of the KSA's e-Invoicing system regulations, also known as Fatoorah, on 4th December 2021 by GAZT, or "General Authority of Zakat and Tax".

The implementation of e-Invoicing in Saudi Arabia brought a significant shift in the currently applicable VAT System, as it is one of the big initiatives undertaken by KSA to digitize its financial structure. This change also substantially addressed electronic billing decisions and rules that commercial companies and organizations should adhere to before the e-Invoicing execution.

Even after GAZT laid all the rules and regulations related to implementation beforehand as early as possible, people are still searching and looking for the solutions to the issues they are facing frequently since e-Invoicing has been implemented in KSA.

So, if you are the one among them, then we are here to answer all your questions regarding ZATCA e-Invoicing system by ensuring a smooth e-Invoicing journey ahead.

Frequently Asked Questions (FAQs) in ZATCA e-Invoicing

1. What are the penalties being imposed on not following the norms given by ZATCA for e-invoicing in KSA?

2. What is the difference between Normal Tax invoice and Simplified Tax invoice?

3. Whether QR code is required to be printed on both the invoices Normal tax invoice & Simplified tax invoice?

4. Whether a separate database is required for storage and archival activity?

5. In which format are invoices required to store for Phase 1?

6. In which language do invoices need to be stored in English, Arabic, or both?

7. In phase 2, whether Simplified tax invoices require reporting to ZATCA?

8. If the buyer is unregistered, is it necessary to enter buyer details in the invoice?

9. After scanning the QR code, what details should it reflect?

10. Is XML generation mandatory for Phase 1?

11. Is it mandatory that, Sequence series for Debit note/credit note should differ from the tax invoice sequence series?

12. What activities are covered under Phase 1 and Phase 2?

We understand that these amendments raises quite a few new questions and doubts which need to be resolved. Thus, Webtel has organized the live session that explains the expert's perspective in a thorough and succinct manner. Watch this video to see the recorded session.