E-Invoicing in Saudi Arabia

Saudi Arabia mandates structured electronic invoicing for all VAT-registered businesses, supporting end-to-end digital compliance and enhancing tax transparency across B2B, B2G, and B2C transactions.

Country Situation

General Description

Saudi Arabia has implemented a comprehensive, phased e-invoicing mandate under the oversight of the Zakat Tax and Customs Authority (ZATCA). Introduced in December 2021, the system aims to standardize invoicing, combat VAT fraud, and support broader digital transformation goals in the Kingdom. The mandate applies to all VAT-registered businesses, covering B2B, B2G, and B2C transactions.  It is being rolled out in two main phases: 

  • Phase 1: Generation Phase (from 4 December 2021): Taxpayers must issue e-invoices in a structured electronic format, include required fields and QR codes, and store them digitally. This phase does not involve integration with ZATCA.

  • Phase 2: Integration Phase (rolled out in waves since January 2023): Taxpayers are required to integrate their invoicing systems with ZATCA's platform (Fatoora). Invoices must be validated and cryptographically signed through the platform in near real-time. E-invoices must be generated using XML format based on UBL 2.1 structure and must contain a universally unique identifier and cryptographic stamp during Phase 2.

FAQs

Is e-invoicing mandatory for all businesses in Saudi Arabia?
B2B: Yes. All VAT-registered businesses must issue e-invoices for B2B transactions.

B2G: Yes. E-invoicing is mandatory for sales to government entities.

B2C: Yes. Must issue Simplified Invoices, which must be reported to ZATCA within 24 hours.
Who is the governing entity overseeing e-invoicing in Saudi Arabia?
The Zakat, Tax and Customs Authority (ZATCA) governs e-invoicing through the Fatoora platform.
ZATCA manages:
- Clearance API (for B2B/B2G transactions)
- Reporting API (for B2C transactions)
- Cryptographic Certificate (CSID) issuance and signing
Is there a phased implementation? What are the key deadlines?
Phase 1 (4 December 2021): E-invoice generation (must issue XML/PDF hybrid invoices).

Phase 2 (From 1 January 2023 (rolling waves based on taxpayer size): E-invoice integration with ZATCA (clearance/reporting via API).
Is there a national e-invoicing platform in Saudi Arabia?
Yes. Saudi Arabia uses Fatoora, operated by ZATCA, for:
- Invoice clearance (real-time) for B2B/B2G
- Invoice reporting (within 24h) for B2C
- QR code verification, signature validation, and audit traceability
Do businesses need to register for e-invoicing compliance in Saudi Arabia?
Yes,. Businesses must:
- Register their Electronic Generation Solution (EGS) via the ZATCA Fatoora portal.
- Generate an OTP, then provide it to ecosio to:
- Request a Cryptographic Stamp Identifier (CSID)
- Activate signing and submission via APIs
Is Peppol required or available for Saudi Arabia?
No. Peppol is not used or supported under the Saudi framework. All integrations must go through ZATCA’s APIs.
What are the approved e-invoicing formats in Saudi Arabia?
All e-invoices must be generated in a structured XML format, specifically aligned with the UBL 2.1 schema. For human readability, suppliers may also generate a PDF/A-3 version that contains the XML as an embedded attachment (commonly referred to as a hybrid invoice).

What is the process for foreign suppliers or self-billing in Saudi Arabia?
Foreign suppliers are not subject to ZATCA directly, however if they do not issue ZATCA-compliant invoices, the Saudi buyer must self-bill.

Self-billed invoices:
- Must use UBL format
- Must be signed by the buyer’s CSID
- Must be cleared or reported depending on the invoice type
Does Saudi Arabia require real-time reporting of invoices?
Yes. Standard invoices (B2B/B2G) require real time clearance. Simplified invoices (B2C) must be reported within 24 hours. Real-time clearance required. No invoice is considered legally valid until cleared or reported.
Do non-resident companies need to comply with ZATCA?
No. Non-resident foreign suppliers are not directly subject to ZATCA. However, buyers in Saudi Arabia must issue self-billed invoices in these cases to ensure compliance.
Is an electronic signature required?
Yes. In phase 2, all invoices must be signed using:
- A cryptographic stamp Identifier (CSID) issued by ZATCA
- A XAdES-based digital signature
The stamp secret to authenticate each signed invoice
How should invoices be archived?
Invoices must be:
- Stored for 6 years
- Tamper-proof and digitally accessible
- Available in UBL 2.1 XML or PDF/A-3 with embedded XML
- Preserved with full audit trail (UUID, signature, QR, timestamp)
Where can I find official e-invoicing guidelines for Saudi Arabia?

Country Specs

Mandate StatusMandatory, Staggered Rollout
Mandate ScopeB2B, B2G, B2C
Model TypeClearance
Government EntityZakat, Tax and Customs Authority (ZATCA)
FormatsUBL 2.1, PDF/A-3 with embedded UBL
Infrastructure / PlatformFatoora Platform
E-signature RequiredYes. All invoices must be signed with a CSID using XAdES.
Key Deadlines4 Dec 2021: Phase 1 (mandatory electronic generation)

1 Jan 2023: Phase 2 (API integration begins)

2023 ongoing: Phased go-lives by taxpayer wave
AR MandatoryYes
AP MandatoryYes
Peppol AvailableNo
Domestic TransactionsB2G: Yes
B2B: Yes
B2C: Yes. Must be reported within 24h.
Cross-border TransactionsExports: Yes . Must be cleared via API.

Imports: Yes. Supported via self-billing.
Archiving PeriodMinimum 6 years from invoice clearance/reporting date
Archiving AbroadNo

Contact an expert

Feeling lost or need more info about this e-invoicing mandate? ecosio can help!

Our team of e-invoicing experts is ready to guide you through everything needed to stay compliant—not just with this mandate, but with all current and upcoming e-invoicing requirements worldwide.
Send us your questions. We’ll provide clear, actionable answers!

Resources related to e-invoicing

E-invoicing newsletter

Stay ON TOP OF E-INVOICING
Sign up to our e-invoicing newsletter to ensure you don’t miss key e-invoicing updates.

The Benefits of e-invoicing

Find out more about why a growing number of businesses are turning to automation and what the benefits of e-invoicing are

Buy vs Build E-invoicing

Compare in-house vs outsourced e-invoicing. Discover the pros and cons of each approach to ensure you choose the right e-invoicing solution.

Simplifying E-invoicing Compliance Without Slowing Down Your Business

Simplify e-invoicing compliance with scalable strategies that cut risk, reduce manual work, and ensure audit-ready invoicing at scale

E-invoicing in Europe Overview

Discover key insights into Europe’s evolving e-invoicing landscape. Learn about country-specific mandates, timelines, and how to stay compliant across borders

ViDA Webinar

Discover how ViDA’s latest changes will impact you in our expert-led webinar. Gain insights, stay compliant, and prepare your business for success!

Looking for something? 👀