TaxSavvySA

Exempt-only business and e-invoicing

We only make exempt supplies and are not VAT registered. E-invoicing?

The situation

Phase 2 waves target VAT-registered taxpayers by VAT-able turnover. A person not registered for VAT is generally outside the waves.

The law

  • ZATCA Decision 1448-99-238 (wave 25): Taxpayers with VAT-able turnover above SAR 187,500 in 2022, 2023, 2024 or 2025 must integrate by 1 February 2027

What it means for you

The waves are set by VAT-able turnover of VAT-registered taxpayers, so a business making only exempt supplies and not registered for VAT is generally outside them. If you start making taxable supplies and register for VAT, you can be picked up in a later wave. Phase 1 invoicing rules still apply to registered persons.

What to do

  1. Confirm your VAT registration status.
  2. Watch for ZATCA wave notices.
  3. Plan a compliant solution if you register later.

We can do this for youFatoora Phase 2 e-invoicing integration: wave check, solution onboarding and go-live: SAR 4,500

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