The Zakat, Tax and Customs Authority (ZATCA) in the Kingdom of Saudi Arabia (KSA) has mandated e-Invoicing for all registered tax payers starting from 4 December 2021. This process will be rolled out in two phases, with the first phase commencing from 4 December 2021 and the second phase from 1 January 2023.

In the first phase, registered tax payers are expected to generate e-invoices based on the regulations provided by ZATCA. To help facilitate this, Zoho Books is fully equipped to deal with the new regulations. Here’s what you can do to stay compliant:

Enable e-Invoicing

The e-Invoicing feature will be enabled for all the organisations by default from 1 December 2021. If you would like to enable it before that:

Note:You will not be able to disable e-Invoicing in your organisations from 4 December 2021.


e-Invoicing Template

As per the ZATCA regulations, invoices must be in Arabic and certain fields are mandatory. To comply with this, you can select a standard e-invoice template and mark it as default. Here’s how:

Set Template

Similarly, you can also set simplified e-Invoice as the default retail template if required.

Configure Customers

To create an e-invoice, you’ll have to configure your customer’s addresses in Arabic. Here’s how:

Add Address

Create e-invoices

Prerequisite:Ensure that you’ve entered the Organisation ID and all the organisation fields in Settings > Organisation > Profile.

Once you’ve marked the required e-Invoice template as default and have configured customers, you can start creating invoices from the Invoices module. Here’s how:

New Invoice

Warning: Ensure that the details entered in the invoice are correct as you cannot edit or delete the invoice once it has been marked as Sent.

Points to remember:

Edit or Delete e-Invoices

If you’ve entered the wrong amount or there’s been a change in the invoice amount, you cannot delete or edit it once it has been marked as Sent. To rectify the error, you can either create a debit note or a credit note.

Let’s say you’ve created an incorrect invoice for SAR 400/- instead of SAR 350/- you cannot edit or delete this invoice. To correct this error , you can create a credit note for SAR 50/-. Likewise, if you created an invoice for SAR 50/- instead of SAR 500/- you can create a debit note for SAR 450/-.

To create a debit or credit note:

Create Debit/Credit Note
Want a feature?
Switch to smart accounting software. Switch to Zoho Books.   Start my free 14-day trial


VAT compliant accounting
software for small