E-invoicing Phase 2 in Saudi Arabia: a practical guide
E-invoicing Phase 2 means your invoicing system sends invoices electronically to the ZATCA platform for clearance or reporting. Businesses are brought in by waves and notified in advance, so the key is a compliant system and clean data before your date.
Phase 1 vs Phase 2
Phase 1 (generation) requires invoices to be issued from a compliant electronic system instead of by hand.
Phase 2 (integration) connects that system to ZATCA: B2B tax invoices are cleared before sharing, and simplified B2C invoices are reported after issue.
How to prepare
Before your wave, review these with your accountant:
- 1Check your VAT number, CR and national address in company settings.
- 2Update B2B customer records (VAT number and address).
- 3Use a Phase 2 compliant system and onboard every branch or device that issues invoices.
- 4Test invoices, credit and debit notes before the deadline.
- 5Train cashiers and accountants on handling a rejected invoice.
Common mistakes
Editing an issued invoice instead of issuing a credit or debit note, mismatched customer data, and leaving an old branch device unconnected.
Always check the official ZATCA portal for current rules and dates.