ZATCA e-Invoicing
Saudi Arabia's ZATCA mandates electronic invoicing for all VAT-registered businesses. Fateh ERP handles the entire process automatically.
Fateh ERP is ZATCA Phase 2 certified. Every submitted sales invoice is automatically cleared or reported through the ZATCA portal. No separate e-invoicing software needed.
What ZATCA requires
ZATCA e-invoicing has two phases:
| Phase | Requirement | Status |
|---|---|---|
| Phase 1 (Generation) | Issue structured electronic invoices with a QR code. No portal submission required. | Active since Dec 2021 |
| Phase 2 (Integration) | Real-time or near-real-time submission to ZATCA portal for clearance or reporting. | Active — being rolled out by taxpayer size |
How Fateh handles ZATCA
1
You create a sales invoice
Fill in the customer, items, and VAT as normal — nothing special to do.
2
You click Submit
This is the trigger. Fateh generates the UBL 2.1 XML file required by ZATCA.
3
Clearance or Reporting
For B2B invoices above SAR 1,000 Fateh requests clearance from ZATCA before the invoice is finalised. For B2C or smaller invoices it is reported within 24 hours.
4
Status shows on invoice
The invoice shows Cleared or Reported with the ZATCA UUID and timestamp.
5
QR code on print
The printed invoice includes the ZATCA-mandated QR code encoding seller details, invoice details, and VAT amount.
Invoice types under ZATCA
| Invoice Type | When to use | ZATCA process |
|---|---|---|
| Tax Invoice (فاتورة ضريبية) | B2B sales — to any VAT-registered business | Clearance required |
| Simplified Tax Invoice | B2C sales — to individuals or non-VAT registered buyers | Reported within 24h |
| Credit Note | Reducing a previously issued invoice (returns, corrections) | Same flow as original invoice |
| Debit Note | Increasing a previously issued invoice (additional charges) | Same flow as original invoice |
ZATCA clearance status
| Status | Meaning |
|---|---|
| Cleared | ZATCA has validated and accepted this invoice. You can share it with the customer. |
| Reported | Invoice submitted to ZATCA. Applies to simplified (B2C) invoices. |
| Pending | Submitted to ZATCA but response not yet received. Refresh after a few minutes. |
| Rejected | ZATCA found an error. Cancel the invoice, fix the issue, and re-submit. |
Never share an invoice with a customer until it shows Cleared or Reported status. Sharing an uncleared B2B invoice is non-compliant.