ZATCA Phase 1 & Phase 2, handled end to end
E-invoicing compliance in Saudi Arabia is not a checkbox in your accounting software — it is an integration with a government platform, with cryptographic requirements, onboarding steps and invoice formats that must be exactly right. We deliver it as a complete project: the software, the onboarding, the integration and the testing.
What the two phases actually demand
Understanding the difference matters, because the work involved is completely different.
Phase 1 — Generation
Invoices must be created and stored electronically in a compliant system. Handwritten and scanned invoices are no longer acceptable.
- Electronic generation of all tax invoices
- QR code on simplified (B2C) invoices
- Mandatory fields including VAT registration numbers
- Arabic language support on the invoice
- Tamper-resistant electronic storage and archiving
- No manual editing or deletion of issued invoices
Phase 2 — Integration
Your system must connect directly to ZATCA's Fatoora platform and exchange invoices with it — in a defined XML format, cryptographically stamped.
- Direct API integration with the Fatoora platform
- Onboarding and CSID (cryptographic stamp identifier) issuance
- UBL 2.1 XML invoices, and PDF/A-3 with embedded XML
- Clearance of standard (B2B) invoices before issuing
- Reporting of simplified (B2C) invoices within 24 hours
- UUID, hash chaining (previous invoice hash) and cryptographic stamp
- Compliance testing in the ZATCA sandbox before go-live
Three ways we get you compliant
Whether you adopt our software or keep your own, the destination is the same.
Our compliant POS & ERP
Adopt our own point of sale or ERP, built for ZATCA Phase 1 and 2 from the ground up. Fastest route to compliance, and you gain a full business system at the same time.
Integration with your system
Keep the ERP or POS you already run. We build the middleware that generates the compliant XML, applies the stamp and talks to Fatoora on your system's behalf.
Onboarding & advisory
Already have compliant software but stuck on the process? We handle Fatoora onboarding, CSID issuance, sandbox testing, error resolution and staff training as a standalone service.
From assessment to cleared invoices
A typical Phase 2 implementation follows the same path regardless of which system you run. The timeline depends mostly on how clean your existing invoice data is.
Compliance assessment
We review your current invoicing — systems, formats, VAT setup, invoice types, branches and volumes — and identify every gap against the ZATCA requirement.
Solution design
Adopt our software, integrate your existing system, or a hybrid across branches. You get the plan, the effort and the cost before committing.
Build & configure
Invoice templates, Arabic fields, VAT treatments, QR generation, XML mapping, hash chaining and the cryptographic stamp are implemented and unit tested.
Onboarding & sandbox
Device onboarding, CSID issuance and full compliance testing in the ZATCA sandbox until every invoice type passes cleanly.
Go live & monitor
Production cutover with clearance and reporting live, staff trained, and monitoring in place so a rejected invoice is caught immediately rather than at month end.
ZATCA e-invoicing — frequently asked
Standard tax invoices (typically B2B) must be cleared — sent to ZATCA and cryptographically stamped by the platform before you give them to the buyer. Simplified invoices (typically B2C, such as a retail or restaurant receipt) are reported to ZATCA within 24 hours of being issued, so the sale is not held up at the till.
Yes, and this is exactly why simplified invoices are reported rather than cleared. Our POS is offline-first: it keeps issuing compliant invoices with correct QR codes, hashes and sequencing while the link is down, and reports the queue to ZATCA automatically once connectivity returns.
No. In many projects we leave the ERP exactly as it is and build an integration layer that takes its invoice data, produces the compliant XML, applies the cryptographic stamp and handles clearance or reporting with Fatoora. Your finance team keeps working in the system they know.
The Cryptographic Stamp Identifier is the credential ZATCA issues during onboarding, which your system uses to stamp invoices. Each invoicing unit — each till or issuing solution — is onboarded and holds its own credential. We manage the whole onboarding process, including renewals, so you never have to work through the portal alone.
For a business adopting our POS or ERP, a straightforward single-branch implementation can be completed quickly; multi-branch estates and custom integrations with legacy systems take longer, driven mainly by data quality and the number of invoice types involved. We give you a firm timeline after the assessment rather than a guess before it.
ZATCA e-invoicing applies to VAT-registered businesses in Saudi Arabia. If you operate branches inside the Kingdom, those branches are in scope even when the head office is elsewhere. We support exactly this pattern — a group in the UAE or Europe with KSA outlets that must comply.
ZATCA requirements are set and periodically updated by the Zakat, Tax and Customs Authority, and obligations vary by wave and business size. We implement to the current published specification and confirm the exact requirements applicable to your business during the assessment. This page is informational and is not tax advice.
Get a compliance assessment this week
Tell us what you invoice with today and how many branches you run. We will tell you exactly what stands between you and compliance — and how long it takes.