What is ZATCA and Fatoora?
The full form of ZATCA is Zakat, Tax, and Customs Authority. Which was previously called GAZT “General Authority of Zakat and Tax”. From 4th of December 2021, Saudi Arabia adopted the mandatory use of ZATCA e-invoicing (Fatoora). The invoicing will help the sellers and buyers to easily generate the E-invoicing.
E-invoicing refers to the procedure of switching over to electronic processes for issuing invoices, from the conventional manual, paper-based invoices, and debit and credit notes. The process focuses on facilitating the processing and exchange of invoices in a systematic and electronic form between sellers and buyers. Fatoora is the name given to the e-invoicing project in the KSA. Many people ask this question, Is e-invoice mandatory for B2C, B2C, and B2G? The electronic invoicing project in Saudi Arabia is called the Fatoora and is applicable to B2B, B2C, and B2G transactions.
From the 4th of December 2021 in KSA Taxpayers will have to issue electronic invoices with a compatible system that allows the required fields to be represented in the electronic invoice. The system must also archive and generate an electronic copy for the client. Manual invoices will no longer be accepted.
The mandatory fields that must be included in the electronic invoice in phase 1 are VAT number of the buyer is registered as a taxpayer mandated to invoice; the issuance date of the invoice and the VAT. The issuers can add a QR code to B2B invoices but must include it on the simplified invoices.
Fatoora is an e-invoicing ZATCA Magento 2 extension developed by AAlogics Pvt Ltd. It is used for calculating the Zakat and Tax. This Magento extension provides an Invoice Fatoora that contains all the information regarding the Zakat and Tax of the particular product.
The Fatoora E-invoicing ZATCA Magento extension provides full detail of the invoicing which include the seller name, VAT number, and QR code that have the information of your specific product. AAlogics provides a reliable E-Invoicing (Fatoora) compatible with ZATCA Magento 2 Extension.
AAlogics is offering a complete ZATCA E-invoicing Software QR CODE. It not only provides Zakat and Tax information but also shows the information on seller name, seller TRN, invoice date and time, Invoice Total (with VAT), and VAT total. The QR code can be verified by ZATCA compatible Apps in both IOS and Android.
ZATCA E-invoicing Magento extension by AAlogics is one of the smartest & reliable E-invoicing software for businesses & customers in Saudi Arabia. The features include ZATCA compliance which leads to higher consumer protection by mainly focusing on keeping the transparency with tax obligations. ZATCA e-invoicing Magento extension helps to generate real-time B2C invoices to increase efficiency and minimise manual errors.
What is E-invoicing in Saudi Arabia?
On the 4th of December 2021, Saudi Arabia introduced an e-Invoicing system to make businesses work more secure and efficient. E-Invoicing (Fatoora) can make transactions more efficient by reducing manual errors and faster processing. The seamless e-Invoicing system removes paper invoices and brings a standardised machine-readable format. This system helps the government to understand the market conditions from the data insights and prevent fraudulent activities.
How ZATCA e-invoicing Magento extension will help?
The ZATCA E-invoicing Magento extension can help in increasing the efficiency and effectiveness of transactions. Digitalising the zakat and tax payments will provide market insights. Also, it will help in eliminating the black economy as transparency will be assured through this e-invoicing system. The consumer will be 100% satisfied and ensured by using this Magento extension.
E-Invoicing (FATOORA) Software in Saudi Arabia
The people of KSA widely refer to e-invoicing as Fatoora. As e-Invoicing is a procedure that converts the invoices from paper into electronic mode. Magento E-invoicing Fatoora Magento Extension is a structured electronic format between buyer and seller using an integrated electronic solution. It provides and ensures 100% error-free reports with the e-invoicing software. It generates all types of VAT- Invoices and ZATCA report from the software.
Keep in mind that Zakat, Tax and Customs Authority (ZATCA) is the authority for e-invoicing in Saudi Arabia. GAZT, General Authority of Zakat and Tax is now also known as ZATCA. They issued the draft e-Invoicing Regulations in Saudi Arabia in December 2021.
AAlogics has developed an e-invoicing Fatoora ZATCA Magento extension it provides an invoice and is saved in an electronic format generated through an electronic system and provides the information about seller name, VAT number, tax, zakat invoice, and respective Credit and Debit Notes. It is to clarify that now handwritten or scanned invoices will not be considered electronic invoices.
Benefits of e-invoicing Fatoora
The following are the few reasons for introducing e-invoicing or Fatoora in KSA:
- It helps in promoting transparency and helping businesses keep track of their activities.
- The e-invoice will help in maintaining accurate and efficient transactions without any human error.
- The complete e-invoicing implementation will increase the efficiency of transactions for both buyers and sellers. The data analysis will be speedy and faster and will reduce the time wastage
- Enhancing customer experience and relationships. And digitizing the bond between the buyers and sellers.
- The e-invoice generation will help in reducing the use of paper for e-invoices and is completely environment friendly.
- The e-invoicing will allow the government to check fake invoices and black money in the economy.
- It keeps the data recorded and saved.
- It also keeps the customer satisfied.
- Instead of a paper invoice, an electronic invoice is created.
- It increases productivity and saves time.
- The transmission is done easily.
AAlogics provides the best seamless business experience by offering technology put together by our professional tech team. We enable smooth business operations involving sales activity, product invoicing, shipping, and payments processing.
Fatoora e-invoicing Magento extension is for invoicing and payment gateway It is the solution for your business to greater success at all levels in the new age world of e-commerce. Leverage your sales and payments at all e-commerce platforms including enterprise resource planning, Customer Relationship Management, content management system with transparent and slick applications that are well integrated with social media and telecom services.
Our developer experts have designed the best ZATCA e-invoice Fatoora Magento 2 extension for supporting financial instruments like online sales and payment, events, online shopping, and many other services. The e-invoice fatoora system made by AAlogics is very simple and secure. It is the perfect business solution for selling and buying purposes.
AAlogics edge-cutting technology Fatoora e-invoicing provides such solutions to keep the business smooth and simple. Weather for transmission or track your sales invoices and process the payment through your own e-invoice system.
E-Invoicing (Fatoora) compatible with ZATCA Magento 2 Extension has made the business efficiency more Simplistic and elegant. The Fatoora e-invoice by AAlogics has made this system such a way that is easy to use for business owners, buyers, and sellers.
The main and major purpose of e-invoicing is to help businesses work more securely and effectively.
The ultimate goal of this step is to incorporate the business data of sellers with ZATCA. This will help bring in greater transparency and make trade simple, safe, and smooth.
Invoices will be in a common format that will be easily read by machines; this will help in standardisation of reporting invoices to the system.
It will also help to stay up to date on transactions that are posted to the official portal. With the phasing out of hand-written invoices and storing paper, and authentication of all invoices on ZATCA portal, the authorities will be able to detect fake invoices and other fraudulent activities quickly.
A common database can also be created for audits, thanks to e-invoicing, helping tax authorities to reduce the frequency of conducting audits.
The e-invoice system will be online. The cash registers, virtual cash registers on tablets, e-invoicing software installed on a computer, e-invoicing software installed on a phone or tablet, and cloud-based solutions are examples of e-invoicing systems