E-Invoicing
ZATCA Compliance Checklist: Is Your System Ready?
Read time: 6 min read
The Zakat, Tax and Customs Authority (ZATCA) implemented e-invoicing in phases. This checklist helps you verify your business readiness for all system requirements.
Phase 1 — Generation
Ensure your system covers the core generation requirements:
- •✅ Issue e-invoices in XML or PDF/A-3 format
- •✅ Include QR code on every invoice
- •✅ All mandatory fields present (tax number, date, description, tax amount)
- •✅ Sequential invoice numbering without deletion
- •✅ Invoice retention for at least 5 years
Phase 2 — Integration
For businesses that have reached their ZATCA integration deadline:
- •✅ System connected to the Fatoora (ZATCA) portal via API
- •✅ Invoices sent for real-time clearance
- •✅ Receive cryptographic reference number (UUID) from ZATCA
- •✅ Handle rejected invoices and resubmit
- •✅ Support B2B and B2C invoices with different requirements
Required Invoice Types
Ensure your system issues all required invoice types:
- •✅ Standard tax invoice (for VAT-registered customers)
- •✅ Simplified tax invoice (for individuals and retail)
- •✅ Credit note (for returns and adjustments)
- •✅ Debit note (for additional charges)
Required Company Data on Every Invoice
Verify every invoice includes:
- •✅ Full legal business name
- •✅ Tax registration number (15 digits)
- •✅ Full business address
- •✅ Invoice issue date and time
- •✅ Sequential invoice number
What Happens If You Don't Comply?
ZATCA imposes penalties on non-compliant businesses:
- •Penalty for not issuing e-invoices: up to SAR 50,000
- •Penalty for non-integration (Phase 2): escalating sanctions
- •Risk of disqualification from government tenders