Saudi E-invoicing

Electronic invoicing is a national project that helps fight commercial concealment and enhances fair competition between sellers. This project can only succeed with the cooperation of all related authorities. So, what are the stages of applying electronic invoicing, and what are the most important steps that it includes?

Stages Of Applying Saudi E-invoicing 

The stages of applying electronic billing in Saudi Arabia started in 2020 and will be completed in 2023, which means that the issuance of paper bills will no longer be valid, and will go completely to electronic bills. The first stage included creating and archiving the mandatory electronic invoice, while the second stage is the stage of integration with the electronic billing portal at the Authority of Zakat, Taxes, and Customs.

 The Purpose  Of Dividing The E-invoicing Application Into Two Stages:

The desire to facilitate the taxpayers and the gradual application of electronic invoicing.

May 28, 2021

Publishing the decision on controls, requirements, technical specifications and procedural rules necessary to implement the provisions of the electronic invoicing  regulation for the first and second stages.

December 4, 2021

The First Stage (Isuuance Stage)

The obligation to issue and save electronic invoices through the electronic invoicing system for all those subject to the electronic invoicing  regulation.

January 1, 2023

The Second Stage (Connection And Integration Stage)

The obligation to connect and integrate with the authority’s systems for those subject to the electronic invoicing regulation in stages for each category, and the authority will notify the target group for connection six months in advance.

The First Stage

The First Stage Included the following steps:

  1. Sending all issued invoices to the electronic invoicing portal within 24 hours after its creation.

  2. Implementation of certain security features in invoices such as the universally unique identifier (UUID). At this point, the QR code will also be mandatory on tax invoices.

The Second Stage 

The Second Stage Will Include The Following Steps:

  1. Linkage with the Authority of Zakat, Taxes, and Customs.

  2. Sending notification to all target groups to start implementation.

  3. Issuing all electronic invoices in a format that is compatible with electronic systems.