Simplified Tax Invoice in Saudi Arabia: When to Issue It and What It Must Show

A simplified tax invoice is the everyday invoice for consumer sales: fewer details than a full tax invoice and no customer details required. It is still a tax invoice, with defined cases and minimum details that cannot be dropped.

When can you issue a simplified tax invoice?

ZATCA's Guideline for Tax Invoicing and Records (Version 3, May 2026) sets out two cases:

1. A supply of goods or services worth less than SAR 1,000.
2. Any supply to a natural person who is not subject to VAT, whatever its value.

A supply to a business or government entity of SAR 1,000 or more needs a full tax invoice, as does any export of goods regardless of value. You may always issue a full tax invoice instead of a simplified one.

Mandatory details on a simplified invoice

Under section 4.3.2 of the same Guideline (based on Article 53 of the Implementing Regulations), a simplified tax invoice must show at least:

1. Date of issue: the date the invoice is created.
2. Supplier name, address, and tax identification number.
3. Description of the goods or services supplied.
4. Consideration payable for those goods or services.
5. VAT payable, or a clear statement that the consideration includes VAT at the 15% basic rate.

Customer name and VAT number are not required, and you may add any further details your customer needs. Because the Regulations require invoices in Arabic, present these details in Arabic first; see the Arabic and bilingual invoice guide.

Example: a SAR 90 sale

The Guideline's example is a grocery sale of SAR 90 before VAT. VAT at 15% is SAR 13.50, so the store may:

• show the VAT amount of SAR 13.50 on the invoice, or
• show the total of SAR 103.50 with a clear statement that it includes VAT at the basic rate.

For the calculation and rounding steps, see the 15% VAT calculation guide.

When must it be issued?

Issue a simplified invoice on the date of supply or the date any part of the consideration is received, whichever comes first. The Guideline makes one exception: for financial services, a simplified invoice may be issued up to 15 days after the end of the month of supply.

QR code and e-invoicing

The Guideline requires invoices to be issued electronically under the E-Invoicing Regulation. Since Phase One (4 December 2021), ZATCA's simplified e-invoicing guide states that a simplified tax invoice must include a QR code generated by the taxpayer's e-invoicing solution to ZATCA's specification. The integration phase is applied to groups that ZATCA notifies and adds further technical requirements; check your business's notifications before choosing a solution.

Common mistakes

• Issuing a simplified invoice to a business for a supply of SAR 1,000 or more instead of a full invoice.
• Dropping the supplier's VAT number or address because the invoice is "simplified".
• Showing a total with neither the VAT amount nor a statement that it includes VAT.
• Issuing the invoice after the date of supply or payment for everyday sales.

Practical rule: a consumer sale, or any sale under SAR 1,000, allows a simplified invoice if the five details and the QR code appear. When in doubt, issue a full tax invoice.

Create a free simplified tax invoice