The Zakat, Tax, and Customs Authority (ZATCA) had intended to finish the e-Invoice application in stages. With the most recent releases, ZATCA has established its criteria for the third phase after previously publishing the first two phases and extra needs.
ZATCA issued the selection criteria for the required taxpayers for the third wave of e-invoice on 24.03.2023. The third wave of e-invoice requirements will apply to all taxpayers whose revenues are subject to VAT and exceed 250 million Saudi Riyals for the years 2021 – 2022. As a result, beginning on October 1, 2023, these taxpayers must link their systems with the FATOORA platform.
The e-Fatoora integration phase timetable is shown below:
- January 2023: Subject to all taxpayers whose VAT receipts for the year 2021 exceeded 3 billion SAR as of January 2023.
- July 2023: The barrier will drop to 500 million SAR.
- October 2023: Any taxpayers whose VAT revenue surpasses 250 million SAR will be subject to the law.
Effective date: 24 March 2023