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Saudi Arabia Regulatory Updates January 2025

Alper Aladag

Jan 17, 2025

ZATCA Announces Wave 19 Criteria for E-Invoicing Integration Phase in Saudi Arabia 


  1. Criteria for Targeted Taxpayers 

Wave 19 includes taxpayers whose VAT-subjected revenues exceeded SAR 1.75 million during 2022 or 2023. 


  1. Integration Deadline 

Selected taxpayers must integrate their E-invoicing solutions with the Fatoora Platform by 30 September 2025. 


  1. Phase Two (Integration Phase) Requirements 


  2. Integration with Fatoora: Taxpayers' systems must connect to ZATCA’s platform. 

  3. Enhanced Invoice Format: E-invoices must adhere to specific formats and include additional mandatory fields. 

  4. Gradual Implementation: The integration phase is being rolled out in waves, with notifications issued at least six months in advance. 


  5. Phase Two Goals and Benefits 


  6. Supports Saudi Arabia’s economic development and digital transformation initiatives. 

  7. Builds on the success of Phase One (Generation Phase), which improved consumer protection and saw strong taxpayer compliance. 


  8. Background on Phase One (Generation Phase) 


Launched on December 4, 2021, Phase One required: 


  1. Elimination of handwritten or text/spreadsheet-generated invoices. 

  2. Adoption of E-invoicing solutions compliant with ZATCA regulations. 

  3. Inclusion of required fields, such as QR codes, in all invoices. 


This initiative highlights ZATCA’s commitment to advancing tax compliance and fostering digital innovation in Saudi Arabia. 


For more information, refer to the official announcement: ZATCA News - Wave 19 E-Invoicing Integration

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