Ultimate Guide ZATCA e-Invoicing Software For Your Business

Effortlessly navigate ZATCA e invoicing with our concise step-by-step guide. Ensure seamless implementation, boost efficiency, and stay compliant effortlessly. Simplify your ZATCA einvoicing process and enhance your business operations with our practical insights. Start streamlining your financial workflows today for a more efficient and compliant future.

Step by Step process for businesses to follow-up to comply with ZATCA e invoicing in Saudi Arabia 

Introduction: ZATCA e invoicing requirements in Saudi Arabia: A Ultimate guide to keeping your business

ZATCA e invoicing is a procedure that aims to convert the issuing of paper invoices as well as credit and debit notes into an electronic process that allows the exchange and processing of invoices, credit and debit notes in a structured electronic format between the buyer and seller.

The main objective of introducing ZATCA einvoicing in Saudi Arabia is to enable businesses to function with greater efficiency and transparency.

Integrating your business data with ZATCA ensures transparency and smooth operations.

ZATCA Einvoicing Saudi Arabia and its purposes

• Introducing ZATCA e invoicing in Saudi Arabia is to enable businesses to function with greater efficiency and transparency. Integrating your business data with ZATCA ensures transparency and smooth operations.
  Reduced hidden economy transactions.
• Reduced commercial concealment by increasing requirements related to invoice
• tracking and data retention.
• Enrich the consumer experience and digitize the consumer-supplier relationship.

How ZATCA einvoicing is implemented in Saudi Arabia?

ZATCA e invoicing can increase efficiency in transactions by making trade more seamless, and efficient, resulting in faster payments and reduced costs

Enabling fair competition, increasing business competitiveness and improving consumer protection in the market, in line with international best practices.

ZATCA e invoicing requirements allows the government to detect and reduce the shadow economy and to monitor the movement of goods, services, and money in (near) real-time, depending on the model that will be implemented.

Key Benefits of ZATCA einvoicing in Saudi Arabia

Some of the key benefits of ZATCA e invoicing in Saudi Arabia are listed below.  

• Speeds up the entire process for sellers and buyers
• Real-time invoice generation to process tax credits faster
• Robust full data security
• Error-free records
• Minimum slip-ups and other inconveniences for business owners
• Faster & Simpler payments method
• Enhanced business ecosystem through a single unified process
• Reduced hidden economy transactions

Step by Step process for businesses to follow-up to comply with ZATCA e invoicing requirements in KSA

PHASE 1 – Generation Phase

In this Generation phase, the taxpayers can individually generate and store tax e-invoices and e-notes through electronic solutions compliant with Phase 1 requirements. Phase -1 has been implemented successfully across KSA for all businesses. ZATCA e invoicing requirements for phase-1 involves issuing the unique QR codes in all the invoices printed for all the Sales transactions.

PHASE 2 – Integration Phase

In this ZATCA e invoicing phase 2  involve the introduction of  technical and business requirements for ZATCA e invoicing through the final integration of ZATCA e invoicing system. 

 This phase mandates integrating with the ZATCA einvoicing system, transmitting e-invoices and related CDNs and sharing them with ZATCA. ZATCA Phase 2 implementation has started from 1st Jan 2023.

Applicability of ZATCA e invoicing Phase 2

ZATCA planned the implementation of the integration phase in waves. Accordingly, it announced multiple phases till now:

• Wave 1 under ZATCA phase 2: VAT registered businesses in KSA having more than SAR 3 billion in 2021 fall under wave 1 and must comply with Phase 2 w.e.f 1st January 2023.
• Wave 2 under ZATCA  phase 2: Businesses registered under Saudi VAT with more than SAR 500 millon and less than SAR 3 billion turnover fall under wave 2 and shall comply with phase 2 w.e.f 1st July 2023.
• Wave 3 under ZATCA  phase 2: Businesses registered under Saudi VAT with more than SAR 250 millon   shall comply with phase 2 w.e.f 1st Oct 2023.
• Wave 4 under ZATCA  phase 2: Businesses registered under Saudi VAT with more than SAR 150 millon  shall comply with phase 2 w.e.f 1st Nov 2023.
• Wave 5 under ZATCA  phase 2: Businesses registered under Saudi VAT with more than SAR 100 millon  shall comply with phase 2 w.e.f 1st Nov 2023.
• Wave 6 under ZATCA  phase 2: Businesses registered under Saudi VAT with more than SAR 70 millon  shall comply with phase 2 w.e.f 1st Jan 2024.

Remaining waves will be determined later and will be announced at least 6 months before their integration Date.

Software for e invoicing  in Saudi Arabia generates below to comply with ZATCA 2e invoicing requirements.

• Invoices in Arabic & English with QR codes as per Phase-1 ZATCA e-invoicing
• Generate secure PDF/A3 with XML Invoices as per approved format
• Display QR Code on e-invoices or notes.
• Generate a Universally Unique identifier ( UUID)
• Generate a hash for Each invoice or note
• Tamper-resistant counter
  Digital stamp mandated
• E-invoice storage as per VAT regulations.

Posbytz – ZATCA Approved e invoicing  software helps you to ZATCA Phase 2 and Phase 1 requirements 

We offer a complete platform to manage your business seamlessly with all compliances of ZATCA e invoicing.

PosBytz comply with ZATCA  e invoicing requirements & guidelines. Check out PosBytz ZATCA  e invoicing features.

• All ZATCA e invoicing requirement  data validations to generate error-free invoices.
• Generates UUID, invoice hash, invoice counter value, QR code & convert invoice into specified XML format as per ZATCA phase 2 requirement.
• Generate XML invoice & receive certified XML back from ZATCA.
• Adding phase 2 QR code & certified XML into an existing invoice to generate final PDF A/3 invoice.
• Automatically emails the final PDF A/3 invoice to your customer.
• ZATCA e Invoicing data archival for up to six years on cloud servers as per ZATCA compliance requirements.

Conclusion

Posbytz, a ZATCA e invoicing software is a one-stop solution for your Retail and Restaurant businesses to comply with ZATCA in Saudi Arabia.

Posbytz, e-Invoicing software is an approved vendor of ZATCA where you get a fast & reliable ZATCA e Invoicing software. With our help, big brands have successfully complied with ZATCA e invoicing guidelines and generated e-invoices seamlessly.

Since it’s cloud-based, you can access your business data from anywhere. PosBytz  is your plug n play choice for the zatca approved e invoicing software  in KSA.

PosBytz is a mini ERP solution for your business with POS , Online ordering, Ecommerce , Inventory , Accounting , HR & payroll and many more.

Posbytz serves a diverse range of businesses from Retail stores, Supermarkets, Restaurant , QSR , Cloud Kitchen, Food trucks , Boutique stores..,

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