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Tax Declaration In Saudi Arabia

On January 1, 2018, value-added tax was introduced in Saudi Arabia, and since then all companies and institutions subject to value-added tax must submit a tax declaration to the Zakat and Tax Authority, which  is an official document that contains a set of details of the cash outflows and inflows of an establishment, such as sales and purchases subject to value added tax (VAT). 

What Is Meant By Tax Declaration?

The tax declaration is a report that contains the financial movements coming in and out of the facility, such as sales and purchases subject to value added tax during a specific period of time, submitted by the taxable establishments to the Zakat Authority on specific dates.


What Are The VAT Declaration  Form Sections?

Tax Paid on sales (Output Tax)

In this section, a report containing all the sales of the organization is prepared and loaded with the percentage of taxes to be paid with the addition of tax-exempt sales.

Tax paid on purchases (Input Tax)

In this section, reports are prepared for the purchases on which VAT is paid, with the need to clarify all the details related to the supplier, as well as the tax number and details of the purchasing company.


Net value added tax payable

This section is the appropriate place to calculate the value-added tax to be paid to pay the tax electronically.

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What Are The Steps For VAT Declaration?

Enter the service via the ZATCA website.

1

Go to the Indirect Tax - Value Added Tax tab.

2

Go to the declarations of VAT tab.

3

Select the declaration to be filed.

4

Submit VAT declaration form.

5

VAT on Sales.

6

VAT on Purchases.

7

You will receive a copy of your declaration and bill.

8

Detailed Explanation of VAT Declaration Steps:

 
 
 

What Are The Dates For Submitting Tax Declaration?

- Establishments whose annual supplies of goods and services exceed 40 million Saudi riyals must submit their tax declaration on a monthly basis.

- Establishments whose annual supplies of goods and services are less than 40 million riyals must submit their tax declaration every three months.

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What Is The Penalty For Not Submitting The Tax  Declaration  On The Specified Dates? 


 A fine of not less than 5% and not more than 25% of the tax value.

What Is The Fine For Amending A Tax Declaration?

The violation is to submit a tax value less than the assumed, or modify the declaration, this may be an unintended mistake in the way to file the tax declaration on the site or intentionally.

The fine for amending the tax declaration is estimated at 50% of what was deducted from the original tax amount.

Jaah invoicing system  makes it easy for you to extract and organize tax declarations.