Article 53 - Tax Invoices

1. Each Taxable Person must issue or arrange for the issuance of a Tax Invoice in respect of either of the following events:

a) any Taxable Supply of Goods or services which he has made to another Taxable Person or to a non- taxable legal Person,

b) any payment made in respect of a Supply of Goods or services to a Taxable Person or non-taxable legal Person before that Supply takes place.

Any such Tax invoice must be issued at the latest the fifteenth day of the month following the month in which the Supply took place.

2. A self-billed Tax Invoice may be issued by the Customer on behalf of a Supplier in respect of a Taxable Supply made to the Customer, provided that a prior agreement between the  Supplier and the Customer has been made to this effect. 

Such agreement must confirm a procedure for the acceptance of each Invoice by the Supplier of the Goods or services, and include an undertaking by the Supplier not to issue Tax Invoices in respect of those Supplies.

3. A Tax Invoice may be issued by a third party on behalf of a Supplier who is a Taxable Person in respect of a Taxable Supply of Goods or services. The Supplier shall be responsible for the accuracy of the information shown on the Tax Invoice and for reporting Output Tax on the supply.

4. A summary Tax Invoice may include more than one separate supply of Goods or services, provided all Supplies included on a summary Tax Invoice are made by the same Supplier and within the same Tax Period.

5. A Tax Invoice must include the following details in Arabic, in addition to any other language also shown on the Tax Invoice as a translation:

a) the date of issue,

b) a sequential number which uniquely identifies the Tax Invoice,

c) the Tax Identification Number of the Supplier,

d) in cases where the Customer is required to self-account for Tax on the Supply, the Customer's Tax Identification Number and a statement that the Customer must account for the Tax,

e) the name and the address of the Supplier and of the Customer,

f) the quantity and nature of the Goods supplied or the scope and nature of the services rendered,

g) the date on which the Supply took place, where this differs from the date of issue of the Tax Invoice,

h) the taxable amount per rate or exemption, the unit price exclusive of VAT and rebates if they the unit prices, any discounts or are not included in the unit prices,

i) the rate of Tax applied,

j) the amount of in riyals, Tax payable, shown

k) in the case where Tax is not charged at the basic rate, a narration explaining the Tax treatment applied to the supply,

l) in cases where the profit margin method for Eligible Used Goods is applied, reference to the fact that VAT is charged on the profit on those Eligible Used Goods.

6. Tax Invoices shall be issued in an electronic format in cases where this is prescribed in any regulations issued by the Minister of Finance or the Board of Directors surrounding the requirements and conditions for issue of electronic Invoices, provided these Regulations are in force as at the date of the Supply.

7. A simplified Tax Invoice may be issued for a Supply of Goods or services valued at less than one thousand (1,000) riyals. A simplified Tax Invoice may not be issued in respect of an Internal Supply or an Export of Goods.

8. A simplified Tax Invoice must include the following details:

a) the date of issue,

b)  The name, address and Tax Identification number of the Supplier

c) a description of the Goods or services supplied,

d) the Consideration payable for the Goods or services,

e) the Tax payable or a statement that the Consideration is inclusive of Tax in respect of the Supply of the Goods or services.

9. Without prejudice to the foregoing provisions in this article, in all other cases to which the foregoing paragraphs of this article are not applicable, a Taxable Person shall issue a Tax Invoice containing the information listed under paragraph 8 of this article.