The General Authority of Zakat and Tax (GAZT) stated that taxpayers subject to the provisions of Value Added Tax (VAT) are required to issue a tax invoice for any supply of taxable goods or services. The invoice must contain a specific set of elements as defined in the Unified VAT Agreement and the Implementing Regulations of the VAT Law.
The Authority added that a simplified tax invoice must include, at a minimum, five key elements: Date of Issue, meaning the date the invoice was created; and the Name, Address, and Tax Identification Number (TIN) of the supplier, referring to the legal name, head office address, and tax number.
The invoice must also carry a statement of the supplied goods or services, specifically the quantity and nature of the goods supplied or the scope and nature of the services provided; the consideration payable for those goods or services; and the tax payable or a statement that the consideration includes the tax.
GAZT renewed its call for consumers to report any missing elements in a tax invoice, as the Authority offers incentive rewards to whistleblowers of 2.5% of the value of violations and fines, up to a maximum of SAR 1 million or a minimum of SAR 1,000. In the same context, it confirmed that it handles reports received through designated channels with strict confidentiality.
The Authority clarified that tax violations take many forms, including tax evasion, collecting tax higher or lower than the 15% rate, collection by a non-registered establishment, absence of the TIN on the invoice, failure to issue tax invoices, failure to maintain tax records and invoices, and the absence of tax stamps on tobacco products.
Upon spotting any of the above violations or others, the consumer can report them via the Authority’s approved reporting channels, namely: the VAT App or the Authority's website (gazt.gov.sa), provided that the report includes a description of the violation and any necessary supporting documents, if available (invoice/contract).