ZATCA e-invoicing (Fatoora) in Saudi Arabia (2026)
Saudi Arabia mandates electronic invoicing through ZATCA's Fatoora system. Here is how Phase 1 and Phase 2 work, who is affected in 2026–2027, and the technical requirements.
The key figures (2026)
- Phase 1 (Generation), live since December 2021, requires compliant electronic tax invoices with a QR code. Phase 2 (Integration) connects your billing system to ZATCA's Fatoora platform via API for real-time clearance.
- Phase 2 rolls out in waves by revenue. By September 2026, ZATCA announced Wave 25 — businesses with VAT-taxable revenue over SAR 187,500 in any of 2022–2025 must integrate by 1 February 2027. Earlier waves (e.g. Wave 24 at SAR 375,000) are already enforced.
- Standard (B2B/B2G) invoices need real-time clearance from ZATCA; simplified (B2C) invoices are reported within 24 hours.
- Technical requirements: UBL 2.1 XML (or PDF/A-3 with embedded XML), a UUID, a cryptographic stamp (CSID), a hash link to the previous invoice, and a TLV-encoded QR code — generated by an EGS unit registered on the Fatoora portal.
Saudi Arabia e-invoicing — FAQ
What is Fatoora / ZATCA e-invoicing?
Fatoora is Saudi Arabia's national e-invoicing system run by ZATCA. Phase 1 requires generating compliant e-invoices; Phase 2 requires integrating your billing system with ZATCA for real-time clearance and reporting.
Who has to comply with ZATCA Phase 2?
It rolls out in waves by revenue. The latest wave (25) covers businesses with VAT-taxable revenue above SAR 187,500 in 2022–2025, with an integration deadline of 1 February 2027. ZATCA gives at least six months' notice per wave.
What are the technical requirements?
Invoices must be UBL 2.1 XML (or PDF/A-3 with embedded XML) with a UUID, a cryptographic stamp, a hash link to the previous invoice and a TLV QR code, generated by an EGS unit registered on the Fatoora portal.
Figures are 2026 headline guidance verified against FTA / ZATCA sources — not tax advice. Check current rules or an accountant for your situation.