ZAKAT - FAQ - Phase II

1.What is Phase 2 (Integration Phase)? When will it be enforced and to whom does it apply?

Ans : Phase 2 known as the “Integration phase”, during this phase, subjective taxpayers must comply with E-invoicing (FATOORAH) Phase 2 business and technical requirements for the electronic invoices and electronic systems, and the integration with ZATCA’s system.

Phase 2 is enforceable starting from January 1, 2023 and implemented in waves by targeted taxpayer groups. Taxpayers will be notified by ZATCA on the date of their integration at least 6 months in advance.

2. How do I know about my Phase 2 wave?

Ans: The enforcement date for the first target group will not be earlier than January 1, 2023. And ZATCA will notify taxpayers of their Phase 2 wave at least six months in advance.

3. What are the requirements for Phase 2 (Integration Phase)?

Ans: Phase 2, which will be implemented in waves by target taxpayer groups start- ing from January 1, 2023, entails additional technical requirements that e-invoicing electronic systems must comply with, the integration of taxpayer electronic systems with ZATCA and the issuance of electronic invoices in a specific format.

Due to the technical nature of the requirements, it is recommended for taxpayers to approach a solution provider or your internal technical teams to ensure your electronic systems are compliant with ZATCA requirements. In addition, developers and subject matter experts may visit ZATCA’s website for viewing all requirements (business, technical, security, etc.).

Further details on the integration mechanisms and specifications will be published by ZATCA on the developer page on ZATCA’s website.

4. What are some of the prohibited functionalities for Phase 2 (Integration phase) that are not allowed to be part of the E-invoicing system?

Ans: All prohibited functionalities that are part of Phase 1. Export of stamping key. Time change.