Electronic Invoicing (e-invoicing) is a procedure that converts the issuing of paper invoices and notes (e.g., handwritten or scanned invoices and notes) into an electronic format that allows the exchange and processing of invoices, credit notes and debit notes between buyer and seller through an integrated electronic solution.

Saudi Arabia will begin implementing e-invoicing from 4 December 2021. This move is intended to improve the efficiency of the filing process for taxpayers and to increase compliance with tax laws and regulations.  Further, the implementation will improve the Kingdom’s alignment with, and adherence to, international standards.

The e-invoicing regulations are integral and complementary to the Value Added Tax (VAT) Implementing Regulations and apply to all taxpayers who are KSA resident tax payers.

The adoption of e-invoicing could benefit taxpayers in terms of business operational efficiency but will also have a significant impact on tax management and governance. Business faces many challenges during the implementation process such as: compliance with required formats and standards; adopting changes to tax regulations; export of data and privacy concerns; and integrating multiple internal systems.

How we can help

At KPMG we have extensive experience of advising clients on the implementation of e-invoicing in multiple global jurisdictions.

Our KPMG team can support you with:

  •  Planning and Project Management
  •  Impact Assessment and Gap Identification
  •  Recommendations and Implementation Roadmap
  •  Support for E-Invoice Compliant Solution (remediation, vendor selection)
  •  Implementation Support
  •  Post Implementation Readiness Review