VAT for Freelancers in Saudi Arabia (ZATCA) Explained

Freelancers in Saudi Arabia pay no personal income tax — but if you cross the thresholds, you'll deal with VAT administered by ZATCA.

The 15% VAT rate

Saudi VAT is 15%. Registered businesses charge it on sales and can reclaim the VAT paid on eligible business expenses, remitting the difference to ZATCA.

Registration thresholds

• Mandatory registration above SAR 375,000 of annual taxable supplies.
• Voluntary registration is allowed above SAR 187,500.

Calculate what you owe

Net VAT = VAT on sales − VAT on expenses. Use our free Saudi Arabia VAT calculator to estimate it and check whether you must register.