E-invoicing implementation phases in Saudi Arabia

ZATCA has decided that e-invoicing will be implemented in 2 main phases.

Phase 1: the Generation phase, starting on the 4th of December, 2021

All taxpayers should generate and store their tax invoices and notes through an electronic invoicing solution that is compliant with the ZATCA’s phase 1 requirements.

Phase 2: the Integration phase, starting from the 1st of January, 2023

This phase will be targeted at taxpayer groups’ technical and business requirements for smooth integration with their electronic invoicing solutions and the ZATCA’s systems. Taxpayers will be notified at least six months prior to the integration. The first group to do the integration will not have to do it earlier than the 1st of January, 2023.

What are the requirements for each e-invoicing phase?

Phase 1: 4th of December, 2021

• Use of an electronic solution for the generation of invoices. Manually generating invoices is forbidden and will not be considered as an e-invoice.
• Addition of QR code on tax invoices. Important: All simplified invoices should have QR codes starting from phase 1.
• Inclusion of the buyer’s VAT number if he/she is registered. Important: Only applies to tax invoices in phase1.
• (Optional) Generation of invoices in XML.
• (Optional) Use of anti-tampering technology such as cryptographic stamps and hashing.
• (Optional) Use of other technologies such as a Universal Unique Identifier (UUID).

Phase 2: 1st of January, 2023

• Use of an electronic solution for the generation of invoices. Manually generating invoices is forbidden and will not be considered as an e-invoice.
• Addition of QR code on tax invoices. Important: All tax invoices should have QR codes in phase 2.
• Inclusion of the buyer’s VAT number if he/she is registered, in both tax and simplified invoices.
• Generation of invoices in XML.
• Use of anti-tampering technology such as cryptographic stamps and hashing.
• Use of other technologies such as a Universal Unique Identifier (UUID).
• Integration of the electronic solution with the ZATCA systems.