Saudi Arabia: ZATCA Extends Tax Amnesty until end of June

The Zakat, Tax, and Customs Authority (ZATCA) has announced an extension to its "Cancellation of Fines and Exemption of Penalties" initiative, which will now run until June 30, 2024. This initiative, originally set to end on December 31, 2023, aims to assist taxpayers impacted by the COVID-19 pandemic by alleviating financial burdens.

Scope of the Initiative

ZATCA's extension includes several types of fines:

• Late registration fines across all tax laws.
• Late payment fines.
• Late filing of returns fines under all tax laws.
• Fines related to the correction of VAT returns.
• Fines for violations related to the implementation of e-invoicing regulations.
• Other general regulatory fines.

Eligibility and Requirements

To benefit from the initiative, taxpayers must:

1. Be registered under the tax law.
2. Submit all previously unfiled returns to ZATCA.
3. Pay all principal tax debts associated with these returns.

Taxpayers can request an installment payment plan from ZATCA, provided the application is submitted while the initiative is active, and all installments are paid according to the schedule approved by the Authority. 

The initiative does not cover penalties related to tax evasion or fines paid before the initiative's effective date.

Additional Information and Support

ZATCA encourages taxpayers to utilize the extended initiative period. Detailed information about the initiative, including eligible penalties, conditions for exemption, and steps for setting up installment plans, can be found in a simplified guideline available on the ZATCA website.

For any inquiries, taxpayers are urged to contact ZATCA through:

• The unified call center at 19993, available 24/7.
• X Account (@Zatca_Care​).
• Email: info@zatca.gov.sa.
• Instant messaging on the ZATCA website (zatca.gov.sa).

By extending this initiative, ZATCA aims to support taxpayers in navigating the financial challenges posed by the pandemic and ensure compliance with tax regulations.

Source/ recommended read:

• ZATCA Announces the Extension of the Cancellation of Fines and Exemption of Penalties Initiative for Taxpayers until 30 June 2024