¶ About ZATCA E-Invoice (Fatoora) Project
Fatoora implementation in the Kingdom of Saudi Arabia is under implementation in phases and waves.
Source: https://zatca.gov.sa/en/E-Invoicing/Introduction/Pages/Roll-out-phases.aspx
¶ PHASE 1 (as of December 4th, 2021)
In the initial stage, referred to as Phase 1 or the Generation phase, taxpayers will be obligated to utilize electronic solutions that adhere to Phase 1 specifications for the creation and retention of tax invoices and notes. This requirement came into effect on December 4th, 2021, encompassing all taxpayers with the exception of non-resident taxpayers, as well as any entities issuing tax invoices on behalf of VAT-liable suppliers.
¶ PHASE 2 (enforceable starting January 1st, 2023 in waves)
Phase 2, termed the Integration phase and implemented gradually across specific taxpayer groups, will entail the introduction of technical and business prerequisites aligned with Phase 2 for electronic invoices and electronic solutions. Additionally, it will involve integrating these electronic solutions with ZATCA’s systems. ZATCA will inform taxpayers about their designated Phase 2 timeline at least six months before implementation. This rollout occurs in stages, categorized by taxpayer groups, as depicted in the table above.
