The Zakat, Tax and Customs Authority (ZATCA) carried out more than 10,000 inspection rounds in August 2022 on markets and shops in various regions and cities across the Kingdon.
ZATCA stated that the rounds carried out by its oversight and inspection teams, in collaboration with the National Anti-Commercial Concealment Program, covered several commercial sectors, most notably: retail and food sectors. ZATCA says that these visits aim to reinforce taxpayers' compliance to the provisions of the tax laws of the Kingdom.
ZATCA's inspection found great compliance with the e-invoicing system (FATOORAH) by the investigated facilities with compliance rates exceeding 80% in most shops and markets. In the meantime, several minor violations were detected, mostly involving failure to include the Quick Response (QR) code in the invoice, failure to issue electronic tax invoices, and failure to issue electronic notices of debit or credit.
The Authority's inspection rounds on markets and commercial and service shops are part of the supervisory efforts made by the oversight and field teams to reinforce business sector taxpayers' compliance and prevent trade transactions in violation of the ZATCA-enforced regulations and instructions.
The Authority urges all consumers to lodge their reports against any establishment that exhibits any tax violations via the ZATCA's website (zatca.gov.sa) or ZATCA App. ZATCA offers incentive rewards for people who file reports on tax violations; rewards amount to 2.5% of the value of violations and fines, at a maximum of 1 million riyals or a minimum of 1000 riyals.