The Zakat, Tax, and Customs Authority the interactive guide to amend the tax treatment of supplies made by businesses to government entities in accordance with the Government Tenders and Procurement System, following the Authority’s Board of Directors" decision on October 8, 2021, to approve the amendment to Article (20) of the Value-Added Tax Executive Regulations, which pertains to determining the date of supply and tax liability in specific cases.
The guide clarifies the scope of the tax treatment amendment and its impact, with practical and simplified examples to illustrate the difference between the previous and current treatments, as well as defining the government entities referred to in the decision and specifying the supplies covered by the amendment (new claims / goods and services of any nature).
The interactive guide launched by the Authority today also includes the requirements for issuing tax invoices in accordance with the provisions of the law and regulations, the penalties imposed in cases of non-compliance, as well as all frequently asked questions regarding the decision to amend tax treatment.
The Zakat, Tax, and Customs Authority’s launch of the interactive guide on the amendment to the tax treatment of supplies made to government entities under the Government Tenders and Procurement Law with the aim of facilitating compliance for taxpayers in the business sector who have contracts with government entities and institutions.
The Zakat, Tax, and Customs Authority invited all interested parties to view the guide by clicking here. It also invited those wishing to obtain further information regarding these amendments to contact it via the unified call center number (19993)—which operates 24 hours a day, seven days a week—or via email at infozatca.gov.sa or the ”Ask Zakat, Tax, and Customs“ Twitter account (Zatca_Care), or via live chat on the Authority’s website (zatca.gov.sa).
