Jeddah: The first phase of electronic billing has come into effect for all VAT registered companies in Saudi Arabia. The use of manuscript or computer bills in institutions will be completely eliminated with this. It aims to prevent secret financial transactions, protect the rights of consumers, enrich their experience, and streamline purchasing and selling. The phase of issuing the bill and saving it electronically has now come into effect. The second phase will be implemented in phases from January 1, 2023. The second step is to fully integrate the systems of the Authority.
The Zakat and Tax Authority has made it clear that electronic billing will completely eliminate the use of text editors, manuscripts or computer-typed bills. The first step is to make sure that the technology for e-billing is available. The authority said that the security of e-bills would be ensured and the VAT number and address on the bill would be checked for accuracy.
Awareness has already been raised on the need for private sector companies to be aware of electronic billing and to implement it. Therefore, a large number of companies are ready to implement the first phase of the project before the deadline. A guide explaining e-billing has been released. The authority said that it contains all the information and details of the categories subject to e-billing regulation, types of bills and types of transactions. It is against the law not to pay or store bills electronically. It will be fined 5,000 riyals. Failure to include the QR code in the bill and failure to notify the Authority of any defect that may impede the issuance of the e-Bill will also be considered as an offense. The fine for deleting or amending e-bills starts from 10,000 riyals.