The Zakat, Tax and Customs Authority specified the criteria for selecting the targeted establishments in the twenty-first group to apply the “linking and integration” phase of e-invoicing, where the authority explained that the twenty-first group included all establishments whose revenues subject to VAT exceed (1.25 million riyals) during the years 2022, 2023 or 2024.

The Zakat, Tax and Customs Authority (ZTA) has clarified that it will notify all targeted establishments in the twenty-first group, in preparation for the linking and integration of e-invoicing systems. The Authority explained that it will notify all targeted establishments in the twenty-first group, in preparation for linking and integrating the electronic invoicing systems of these establishments with the (FATURA) system before November 30, 2025.

The Zakat, Tax and Customs Authority added that the second phase (the linking and integration phase) entails additional requirements from the first phase (the issuance and filing phase), most notably linking taxpayers" e-invoicing systems with the FATURA system, issuing e-invoices based on a and the inclusion of a number of additional elements in the invoice. The Authority will inform the remaining groups directly at least six months before the scheduled date of connection.

The second phase is a success story

The Zakat, Tax and Customs Authority pointed out that the second phase of e-invoicing comes as an extension of the economic renaissance and digital transformation witnessed by the Kingdom, and a continuation of a success story that began with the first phase of the application of e-invoicing, which achieved many positive results, most notably raising the level of consumer protection throughout the Kingdom, praising the great awareness it saw from taxpayers and their quick response in applying the first phase of the project.

The Zakat, Tax and Customs Authority noted that the second phase of e-invoicing is a continuation of the economic renaissance and digital transformation witnessed by the Kingdom. <It is noteworthy that the first phase of the e-invoicing project (the issuance and preservation phase) began its application on December 4, 2021, which obligates taxpayers subject to the e-invoicing regulation to completely stop using handwritten invoices or invoices written by computers through text editing programs or number analysis programs, and to ensure that there is a technical solution for electronic invoicing that is compatible with the Authority's requirements, in addition to ensuring that electronic invoices are issued and saved with all elements, including QR Code (Quick Response Code) and other requirements.