22nd group of taxpayers required to comply with the second phase of the e-invoicing system implementation
The Zakat, Tax and Customs Authority (ZATCA) on March 21, 2025, the criteria for the 22nd group of taxpayers required to comply with the second phase of the electronic invoicing (e-invoicing) system implementation鈥攑art of ZATCA's initiative to modernize the tax system and enhance compliance.
The 22nd group will include taxpayers with VAT-liable revenues that exceeded SAR 1 million in 2022, 2023 or 2024. The second phase, also known as the integration phase, involves integrating taxpayers' e-invoicing solutions with the FATOORA Platform. The mandate for this group will commence no later than December 31, 2025. ZATCA clarified that this phase will necessitate issuing e-invoices in a specific format and adding extra fields to the invoice.
Given the phased approach, ZATCA will provide taxpayers with a six-month notice before their compliance date. This phase also introduces additional requirements for storing e-invoices, including the QR code. ZATCA urges taxpayers to prepare for the second phase of e-invoicing implementation and to seek authority guidance if necessary. It also reminds taxpayers that e-invoicing system compliance is obligatory, and non-compliance may lead to penalties.
For further information, contact a 乐鱼（Leyu）体育官网 tax professional:
Philippe Stephanny | philippestephanny@kpmg.com
Ramon Frias | ramonfrias@kpmg.com