ZATCA Sets Wave 19 E-Invoicing Criteria, September 2025 Deadline

The Zakat, Tax and Customs Authority (ZATCA) has determined the selection criteria for the 19th wave of taxpayers required to join the Integration Phase of Saudi Arabia’s E-invoicing initiative, targeting all establishments whose revenues subject to Value Added Tax (VAT) exceeded SAR 1.75 million in either 2022 or 2023. According to an official press release issued via the Saudi Press Agency (SPA), the authority will directly notify every targeted taxpayer in this wave, requiring them to integrate their electronic invoicing solutions with the Fatoora platform no later than September 30, 2025. The announcement marks another deliberate step in the Kingdom’s phased national rollout of electronic invoicing, a program that has already reshaped how businesses across Saudi Arabia issue, transmit, and store tax documents.

Why does a technical deadline issued by a tax authority matter far beyond the boardrooms of accounting departments? Because the E-invoicing program, known in Arabic as Fatoora, sits at the intersection of Saudi Arabia’s fiscal modernization, digital economy ambitions, and its wider Vision 2030 transformation agenda. Since the Generation Phase first took effect on December 4, 2021, ZATCA has moved methodically through successive waves, each time expanding the pool of businesses required to comply with increasingly sophisticated technical standards. Wave 19 continues that trajectory, and its September 2025 integration deadline gives affected establishments a clear, predictable window to prepare their systems, train their staff, and align their operations with the national standard.

Context and Background

How did Saudi Arabia arrive at a point where millions of invoices flow through a single government-linked digital platform? The answer lies in a carefully sequenced rollout that began with the E-invoicing Regulation and the launch of the Generation Phase on December 4, 2021. At that stage, taxpayers subject to the regulation were required to stop generating handwritten invoices or computer-generated invoices produced through text editing software or spreadsheet software. Instead, businesses had to adopt a technical solution compatible with ZATCA’s requirements, generate and store e-invoices containing mandatory fields, including the QR code, and retain those records in line with the regulation.

The Generation Phase achieved what ZATCA describes as positive results, most notably raising the level of consumer protection throughout the Kingdom. The authority publicly praised the high awareness demonstrated by taxpayers and their rapid response during the first phase. That early success created the foundation for Phase Two, the Integration Phase, which imposes additional technical requirements. Under the Integration Phase, taxpayers must integrate their own e-invoicing solutions directly with ZATCA’s Fatoora platform, issue e-invoices based on a specific format, and include additional fields in each invoice. The Integration Phase is being implemented gradually in waves, and ZATCA has committed to notifying the remaining waves at least six months before their integration date.

Wave 19 follows that same transparent pattern. By publishing the selection criteria in advance and committing to direct notification, ZATCA gives businesses a predictable compliance horizon rather than a sudden mandate. For a national program of this scale, predictability is itself a feature: it allows companies to budget for software upgrades, engage certified solution providers, and schedule internal training without disrupting day-to-day commercial activity.

Key Details of Wave 19

What exactly distinguishes the 19th wave from its predecessors? The defining criterion is revenue. ZATCA has specified that Wave 19 covers all establishments whose revenues subject to VAT exceeded SAR 1.75 million in 2022 or 2023. This threshold-based approach ensures that the wave captures a well-defined cohort of medium and larger enterprises, while smaller businesses continue to be addressed through subsequent waves according to the authority’s published schedule. Targeted taxpayers will be notified directly by ZATCA and must complete integration with the Fatoora platform by September 30, 2025.

The Integration Phase requires more than simply switching on a new software module. Taxpayers must ensure their e-invoicing solutions connect to the Fatoora platform, produce invoices in the specified electronic format, and carry the additional data fields mandated for the integration stage. These requirements build on the foundations laid during the Generation Phase, when the QR code and core mandatory fields became standard. For many businesses, compliance will involve close coordination with accredited e-invoicing solution providers, internal finance and IT teams, and, where relevant, external auditors.

ZATCA has also reaffirmed its communication protocol: the authority notifies each wave directly, and future waves will receive at least six months’ notice before their integration date. This gives Wave 19 taxpayers a clear runway to the end of September 2025. The authority’s press release, carried by the Saudi Press Agency, frames the launch of Phase Two as part of the Kingdom’s economic development and digital transformation, and as a continuation of the success story that began with Phase One.

International and Regional Impact

How does a domestic tax modernization program resonate beyond Saudi borders? For international businesses trading with the Kingdom, the expansion of e-invoicing changes the practical mechanics of cross-border commerce. Multinational suppliers, regional distributors, and logistics firms that invoice Saudi customers increasingly need to align their billing systems with Fatoora-compatible formats. The September 2025 deadline for Wave 19 gives those companies a defined point at which their Saudi counterparties will expect fully integrated electronic invoicing, encouraging global vendors to upgrade their own platforms in parallel.

Regionally, Saudi Arabia’s phased approach has become a reference model. Other Gulf economies pursuing digital tax reform have watched the Kingdom’s wave-by-wave rollout, which balances ambition with predictability. By publishing criteria, notifying taxpayers directly, and granting at least six months’ lead time, ZATCA demonstrates a compliance-first philosophy that reduces friction for businesses while steadily expanding the program’s reach. For international observers, the program signals that Saudi Arabia’s digital transformation is not confined to high-profile giga-projects but extends to the everyday plumbing of the economy, including tax administration, invoicing, and record-keeping.

Economic and Strategic Significance

Why should economists and business leaders pay attention to invoice formats and platform integration? Because e-invoicing is one of the quieter engines of formalization and transparency in a modern economy. When invoices are generated electronically, transmitted through a standardized platform, and stored with mandatory fields, transactions become more traceable, compliance becomes more consistent, and the shadow economy faces structural pressure. For Saudi Arabia, these effects support a broader goal of strengthening the business environment, improving tax compliance, and enabling data-driven policymaking.

The Integration Phase also deepens the digital capabilities of the private sector. Companies that connect their systems to the Fatoora platform gain real-time visibility into their invoicing workflows, reduce manual errors, and build the technical infrastructure needed for future digital services. Solution providers in the Kingdom have responded by developing certified offerings tailored to ZATCA’s requirements, creating a domestic technology ecosystem around compliance. For a country pursuing economic diversification, that ecosystem represents exactly the kind of high-value, knowledge-intensive activity that Vision 2030 seeks to cultivate.

Consumer protection remains an explicit benefit. ZATCA credited the first phase with raising protection levels across the Kingdom, since standardized e-invoices make it harder to issue undocumented or manipulated bills. As Wave 19 brings more establishments into the Integration Phase, those protections extend to a wider share of commercial activity, reinforcing trust between businesses and their customers.

Vision 2030 Alignment

How does an invoicing mandate connect to a national transformation blueprint? Vision 2030 envisions a diversified, digital, and transparent economy, and the E-invoicing program advances several of its pillars simultaneously. Digital transformation is embedded in the program’s design: a national platform, standardized electronic formats, and integration requirements that push businesses toward modern technical solutions. Economic development is served by improved tax compliance and a more formalized private sector. Transparency and consumer protection are strengthened by mandatory fields, QR codes, and centralized records.

ZATCA’s own framing places Phase Two within this national context, describing it as part of the Kingdom’s economic development and digital transformation and a continuation of Phase One’s success. For the businesses covered by Wave 19, the September 30, 2025 deadline is both a compliance requirement and an opportunity to modernize. As Saudi Arabia continues its wave-by-wave expansion of e-invoicing, the program stands as a practical example of how Vision 2030 is being implemented at the operational level, turning national ambition into everyday digital infrastructure that supports a thriving, transparent, and globally connected economy.

20 Questions

Q1. What did ZATCA announce regarding Wave 19 of e-invoicing?

A1. ZATCA determined the selection criteria for the 19th wave of the E-invoicing Integration Phase, covering establishments whose VAT-subject revenues exceeded SAR 1.75 million in 2022 or 2023, according to an official press release carried by the Saudi Press Agency.

Q2. What is the revenue threshold for Wave 19 taxpayers?

A2. The threshold is SAR 1.75 million in revenues subject to VAT, measured in either 2022 or 2023. Establishments meeting that criterion in either year fall within the scope of the 19th wave.

Q3. What deadline must Wave 19 taxpayers meet?

A3. Targeted taxpayers must integrate their e-invoicing solutions with the Fatoora platform no later than September 30, 2025. ZATCA will notify each affected taxpayer directly to confirm their inclusion in the wave.

Q4. What is the difference between the Generation Phase and the Integration Phase?

A4. The Generation Phase required taxpayers to stop issuing handwritten or spreadsheet-based invoices and to generate e-invoices with mandatory fields including a QR code. The Integration Phase adds requirements to connect solutions with the Fatoora platform and include additional invoice fields.

Q5. When did Saudi Arabia’s E-invoicing Generation Phase begin?

A5. The Generation Phase was first introduced on December 4, 2021. It required taxpayers subject to the E-invoicing Regulation to adopt compliant technical solutions and to generate and store e-invoices with the mandatory fields.

Q6. How does ZATCA notify taxpayers about upcoming waves?

A6. ZATCA directly notifies each wave of targeted taxpayers and has committed to informing remaining waves at least six months before their integration date. This provides businesses with a predictable preparation window.

Q7. What is the Fatoora platform?

A7. Fatoora is ZATCA’s national e-invoicing platform. Under the Integration Phase, taxpayers must connect their own e-invoicing solutions to Fatoora, issue invoices in a specified format, and include additional fields.

Q8. Why is the Integration Phase being rolled out in waves?

A8. ZATCA is implementing the Integration Phase gradually in successive waves to manage the transition efficiently, allowing businesses to prepare properly and ensuring the national rollout proceeds in an orderly, predictable manner.

Q9. What benefits did the Generation Phase deliver?

A9. According to ZATCA, the first phase achieved positive results, most notably raising the level of consumer protection throughout the Kingdom. The authority also praised taxpayers’ high awareness and rapid response during implementation.

Q10. How does e-invoicing support consumer protection?

A10. Standardized electronic invoices with mandatory fields and QR codes make transactions more traceable and reduce the risk of undocumented or manipulated billing, strengthening protections for consumers across the Kingdom’s commercial sectors.

Q11. What should businesses in Wave 19 do to prepare?

A11. Affected establishments should review their e-invoicing solutions, coordinate with accredited providers, ensure compatibility with Fatoora integration requirements, and plan internal training and system upgrades ahead of the September 30, 2025 deadline.

Q12. Does the Integration Phase require additional invoice fields?

A12. Yes. ZATCA has stated that the Integration Phase requires additional fields beyond those mandated in the Generation Phase, along with issuance of e-invoices based on a specific electronic format.

Q13. How does e-invoicing relate to Saudi Arabia’s digital transformation?

A13. ZATCA describes Phase Two as part of the Kingdom’s economic development and digital transformation. The program builds national digital infrastructure, modernizes business processes, and supports a more transparent, technology-driven economy.

Q14. What role does the Saudi Press Agency play in this announcement?

A14. The Saudi Press Agency carried ZATCA’s press release, providing official confirmation of the Wave 19 criteria and deadline. SPA serves as a primary channel for authoritative Saudi government announcements.

Q15. Which establishments are excluded from Wave 19?

A15. Establishments whose VAT-subject revenues did not exceed SAR 1.75 million in either 2022 or 2023 fall outside the 19th wave. They may be included in subsequent waves according to ZATCA’s published schedule.

Q16. How does e-invoicing affect international companies trading with Saudi Arabia?

A16. International suppliers invoicing Saudi customers increasingly need billing systems compatible with Fatoora formats. The Wave 19 deadline encourages global vendors to align their platforms with Saudi requirements in parallel with their local counterparties.

Q17. What economic benefits does e-invoicing deliver?

A17. E-invoicing improves tax compliance, increases transaction traceability, reduces manual errors, and supports formalization of the private sector. It also fosters a domestic ecosystem of certified technology solution providers serving compliant businesses.

Q18. How does the program align with Vision 2030?

A18. The E-invoicing program advances Vision 2030 pillars including digital transformation, economic development, transparency, and consumer protection. It converts national ambition into practical digital infrastructure supporting a diversified, modern economy.

Q19. What happens if a Wave 19 taxpayer misses the deadline?

A19. ZATCA has set a firm integration deadline of September 30, 2025. Taxpayers are expected to comply with the E-invoicing Regulation, and ZATCA’s phased notification approach is designed to give businesses ample time to meet their obligations.

Q20. What comes after Wave 19?

A20. ZATCA will continue rolling out the Integration Phase in subsequent waves, notifying each group of taxpayers at least six months before its integration date. The program will progressively expand until the national rollout is complete.

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