Odoo
ZATCA e-invoicing Phase 2: what Saudi businesses need to know
TL;DR
Phase 2 (Integration) requires your invoicing system to connect to ZATCA’s Fatoora platform, cryptographically sign invoices and report or clear them in near real time. Businesses are notified in waves; prepare by choosing a compliant ERP or middleware, onboarding your devices and testing in the sandbox before your deadline.
What changes in Phase 2?
Phase 1 required generating electronic invoices. Phase 2 adds integration: invoices are signed, include a cryptographic stamp and are sent to Fatoora for clearance (B2B) or reporting (B2C).
How should you prepare?
- Confirm your wave and deadline from ZATCA notifications.
- Check whether your ERP or POS supports Phase 2.
- Onboard your solution units and test in the sandbox.
- Train your finance team on rejections and corrections.
Key takeaways
- Phase 2 means integration with Fatoora, not just e-invoices.
- Test in the sandbox well before your deadline.
Frequently asked questions
Does Phase 2 apply to all VAT-registered businesses?
It is being rolled out in waves based on revenue; ZATCA notifies each business in advance.
Can we keep our current accounting software?
Only if it supports Phase 2 or can connect through compliant middleware.
