Kingdom of Saudi Arabia (KSA) e-invoicing 2021
KSA has announced it will introduce an e-invoicing framework for resident companies with an expected go-live date of December 4, 2021.
All taxable individuals living in the Kingdom of Saudi Arabia, the customers, and the third parties who issue invoices on behalf of any taxable individuals are required to use the electronic invoices. The Value Added Tax requirement of electronic invoices would be similar to the paper tax invoices, credit notes, and debit notes requirements.
The announcement was published on December 4, 2020, and the Saudi authorities will release its details on the e-invoicing framework around July 2021. That will include the system and technical requirements relating to the implementation of e-invoicing by businesses. That means we have to wait until we can start, but we can develop and implement quickly, as proven with our Egyptian SAP add-on solution, and install in around four weeks.
E-invoicing regulations are integral and complementary to the Value Added Tax (VAT) Implementing Regulations and apply to all taxpayers subject to VAT. The new regulations define the terms, requirements, and conditions related to electronic invoices.