Saudi Arabia: Initiative to cancel fines for taxpayers extended to Dec

Riyadh: The Kingdom of Saudi Arabia’s Zakat, Tax and Customs Authority (ZATCA) on Sunday, June 30, extended the cancellation of fines and exemption of penalties initiative until December 31, 2024.

The initiative aims to benefit taxpayers who meet certain conditions, primarily focusing on mitigating the economic impacts of the COVID-19 pandemic on establishments.

Types of taxes included in the initiative

• Value added tax (VAT)

• Withholding tax

• Excise tax

• Income tax

• Real estate transaction tax (RETT)

Fines covered by the exemption decision include

• Late registration in all tax systems

• Late payment

• Late filing of returns fines in all tax systems

• Fines to correct VAT returns

• Fines for VAT field control violations related to e-invoicing regulations and other VAT general regulations.

To participate in the initiative, taxpayers must register, submit unsubmitted returns to ZATCA, pay the principal tax debt, and request installment payment plans.

The application must be submitted during the current initiative and installments must be paid according to the ZATCA-approved installment plan.

The authority urged taxpayers to utilize the extension of the initiative and requested inquiries to be addressed via the unified call center number (19993).